Raw material variability in food manufacturing: a data-driven snack food industry case

Management of variability in raw materials is critical in food manufacturing systems, where the variability of input attributes is a result of its biological nature. We present a methodology for the analysis of such production systems that provides a means for assessing tactical and strategic issues...

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Main Authors: Brian A. Bourquard, Gemma Berenguer, Allan W. Gray, Paul V. Preckel
Format: Article
Language:English
Published: Taylor & Francis Group 2022-12-01
Series:Production and Manufacturing Research: An Open Access Journal
Subjects:
Online Access:https://www.tandfonline.com/doi/10.1080/21693277.2022.2083030
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author Brian A. Bourquard
Gemma Berenguer
Allan W. Gray
Paul V. Preckel
author_facet Brian A. Bourquard
Gemma Berenguer
Allan W. Gray
Paul V. Preckel
author_sort Brian A. Bourquard
collection DOAJ
description Management of variability in raw materials is critical in food manufacturing systems, where the variability of input attributes is a result of its biological nature. We present a methodology for the analysis of such production systems that provides a means for assessing tactical and strategic issues. To illustrate our method we partner with a large food manufacturer whose primary raw material is wheat flour to examine how variation in raw material attributes and the use of manufacturing controls impact the firm's finished goods quality and net revenue outcomes. At the strategic level, we investigate the supplier selection problem where the firm must choose which supplier criterion to emphasize: lower price or higher quality. We find that the firm's operations fall short of achieving optimal net revenue, which would represent an increase of 65%. We also show that flour price should be the driving force in supplier selection for our firm..
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spelling doaj.art-e7d9b6c849f949859e5ef1e2a228a9d42022-12-22T00:14:41ZengTaylor & Francis GroupProduction and Manufacturing Research: An Open Access Journal2169-32772022-12-0110129432010.1080/21693277.2022.2083030Raw material variability in food manufacturing: a data-driven snack food industry caseBrian A. Bourquard0Gemma Berenguer1Allan W. Gray2Paul V. Preckel3Verdant Robotics, Inc, Hayward, U.s.aDepartment of Business Administration, Universidad Carlos III de Madrid, Getafe, SpainDepartment of Agricultural Economics, Purdue University, West Lafayette, U.S.ADepartment of Agricultural Economics, Purdue University, West Lafayette, U.S.AManagement of variability in raw materials is critical in food manufacturing systems, where the variability of input attributes is a result of its biological nature. We present a methodology for the analysis of such production systems that provides a means for assessing tactical and strategic issues. To illustrate our method we partner with a large food manufacturer whose primary raw material is wheat flour to examine how variation in raw material attributes and the use of manufacturing controls impact the firm's finished goods quality and net revenue outcomes. At the strategic level, we investigate the supplier selection problem where the firm must choose which supplier criterion to emphasize: lower price or higher quality. We find that the firm's operations fall short of achieving optimal net revenue, which would represent an increase of 65%. We also show that flour price should be the driving force in supplier selection for our firm..https://www.tandfonline.com/doi/10.1080/21693277.2022.2083030Manufacturingdata-driven food process analysisraw material variabilitysupplier selection
spellingShingle Brian A. Bourquard
Gemma Berenguer
Allan W. Gray
Paul V. Preckel
Raw material variability in food manufacturing: a data-driven snack food industry case
Production and Manufacturing Research: An Open Access Journal
Manufacturing
data-driven food process analysis
raw material variability
supplier selection
title Raw material variability in food manufacturing: a data-driven snack food industry case
title_full Raw material variability in food manufacturing: a data-driven snack food industry case
title_fullStr Raw material variability in food manufacturing: a data-driven snack food industry case
title_full_unstemmed Raw material variability in food manufacturing: a data-driven snack food industry case
title_short Raw material variability in food manufacturing: a data-driven snack food industry case
title_sort raw material variability in food manufacturing a data driven snack food industry case
topic Manufacturing
data-driven food process analysis
raw material variability
supplier selection
url https://www.tandfonline.com/doi/10.1080/21693277.2022.2083030
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