Ibm in the 21st Century: the Coming of the Globally Integrated Enterprise"
Business Running Case: Investing in a New BrewPub?
(Conceptual Study by the Owner)
BU MET AD715: Quantitative and Qualitative Decision-Making
© 2012 Profe
AD715: Business Running Case – New BrewPub? 1
OUTLINE
New BrewPub: Starting Points
Conceptual Study: Starting Points
AD715: Business Running Case – New BrewPub?
2
New BrewPub: Starting Points
The owner of an existing restaurant/tavern operation is considering opportunities to increase (locally) the competitiveness of the company by investing in a new technology for in-house brewing (BrewPub) of high quality non-posteurized beer (craft beer) After a thorough evaluation of a broad spectrum of offers, the owner selects a proposal for
a capital project with the following starting parameters
System Characteristics of the BrewPub :
Turn-key system (brand-new equipment) for brewing of two types of beer: (i) Pilsner All-Malt Beer (ii) Bavarian Lager All-Malt Beer
Two possible forms of distribution of the beer:
(i) craft beer(for direct sale in the existing restaurant/tavern, measured in pints)
(ii) in kegs (1 keg = half barrel = 15.5 gallons = 124 pints) ; 1 pint = 16 oz = 474 ml NEXT
AD715: Business Running Case – New BrewPub? 3
New BrewPub: Starting Points
System Characteristics of the BrewPub (continued):
Annual production capacity of a 10 bbl (12 hectoliters) BrewPub System , based on: one bbl = brewer’s barrel = 31 gallons = 117.4 liters = 1.174 hectoliters two week production cycle ales 50 week work year ten fermenter tanks, called fermenters (capacity 10-hl/fermenter) Capacity/fermenter = 10,000 liters x 25 batches = 25,000 liters/annually Capacity/fermenter x 10 fermenter = 250,000 liter/annualyl five serving tanks (capacity 4 hectoliters per serving tank) Annual system capacity = 234,608 l/ann = 496,000 pints/ann = 4,000 kegs/ann
Production personal:
one beer master
two workers NEXT
AD715: Business Running Case – New
(Conceptual Study by the Owner)
BU MET AD715: Quantitative and Qualitative Decision-Making
© 2012 Profe
AD715: Business Running Case – New BrewPub? 1
OUTLINE
New BrewPub: Starting Points
Conceptual Study: Starting Points
AD715: Business Running Case – New BrewPub?
2
New BrewPub: Starting Points
The owner of an existing restaurant/tavern operation is considering opportunities to increase (locally) the competitiveness of the company by investing in a new technology for in-house brewing (BrewPub) of high quality non-posteurized beer (craft beer) After a thorough evaluation of a broad spectrum of offers, the owner selects a proposal for
a capital project with the following starting parameters
System Characteristics of the BrewPub :
Turn-key system (brand-new equipment) for brewing of two types of beer: (i) Pilsner All-Malt Beer (ii) Bavarian Lager All-Malt Beer
Two possible forms of distribution of the beer:
(i) craft beer(for direct sale in the existing restaurant/tavern, measured in pints)
(ii) in kegs (1 keg = half barrel = 15.5 gallons = 124 pints) ; 1 pint = 16 oz = 474 ml NEXT
AD715: Business Running Case – New BrewPub? 3
New BrewPub: Starting Points
System Characteristics of the BrewPub (continued):
Annual production capacity of a 10 bbl (12 hectoliters) BrewPub System , based on: one bbl = brewer’s barrel = 31 gallons = 117.4 liters = 1.174 hectoliters two week production cycle ales 50 week work year ten fermenter tanks, called fermenters (capacity 10-hl/fermenter) Capacity/fermenter = 10,000 liters x 25 batches = 25,000 liters/annually Capacity/fermenter x 10 fermenter = 250,000 liter/annualyl five serving tanks (capacity 4 hectoliters per serving tank) Annual system capacity = 234,608 l/ann = 496,000 pints/ann = 4,000 kegs/ann
Production personal:
one beer master
two workers NEXT
AD715: Business Running Case – New