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Sugar Manufacturing

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FACULTY OF TECHNOLOGY MANAGEMENT AND TECHOPRENEURSHIP

BACHELOR OF TECHNOLOGY MANAGEMENT

(HIGH TECHNOLOGY MARKETING)

3 BTMM

SEMESTER 5 SESSION 2017/2018

BMFG 3113 INTRODUCTION TO MANUFACTURING SYSTEM

TITLE OF ASSIGNMENT:

GROUP ASSIGNMENT

PREPARED FOR: B6 (SUGAR)

DR ZUHRIAH BINTI EBRAHIM

NO.

NAME

MATRIX NO.

1.

SIA KHANG RUIS

B061510104

2.

IRENE GOH YIN LAN

B061510290

3.

LAM SU IN

B061510139

4.

TAN SHU WEN

B061510046

5.

ANIS ASHILA BINTI RAZAKI

B061510016


TABLE OF CONTENT

NO.

TITLE

PAGES

1.0

EXECUTIVE SUMMARY

1

2.0

PRODUCT PROFILE

2.1 Product Justification

2.2 Product Structure

2 - 4

3

4

3.0

PRODUCTION TYPE

5

4.0

PROCESS PLANNING AND DESIGN

4.1 Manufacturing Process

4.2Cycle time for each process

4.3 Quantity per process (lot size)

6 – 9

6

7 – 8

9

5.0

LAYOUT PLANNING AND DESIGN

5.1 REL Diagram

5.2 Space Relationship Diagram

5.3 Plant Layout

5.4 Production Layout

10 – 13

10

11

12

13

6.0

CAPACITY PLANNING

6.1 Production Capacity

   6.1.1 Time: Standard Operating Hours

   6.1.2 Hourly, Daily and Annually Production Capacity

   6.1.3 Analysis of Current Market and Future Market

6.2 Aggregate Planning

14 – 24

14

14

15

16

17 – 24

7.0

MANUFACTURING COST AND PRODUCT COST STRUCTURE

25 – 26

8.0

PROFIT PLANNING AND BREAK-EVEN ANALYSIS

27 – 29

9.0

CAPITAL INVESTMENT

30 – 31

10.0

CONCLUSION

32

REFERENCES

APPENDICES


1.0 EXECUTIVE SUMMARY

This report examines the manufacturing of sugar. Basically, most of the sugar comes from sugarcane and sugar beets. The function of sugar is not only act as flavouring, preservative, and colouring, but it also is an important source of energy. The raw materials to produce sugar are sucrose and water. Sugar production is classified as continuous/flow production. This is due to it reduces the required production time, promotes increased labor productivity and improves quality by making it easier to spot and correct errors.

For the manufacturing process flow, the shortest time is packaging process, which only takes for 30 seconds. Filling and stapling of packaging is done according to weight in this process. According to the lot size, the minimum workstation for each process is one and controlled by minimum one operator. In order to identify the relationship of each area, REL diagram, space relationship diagram, plant layout, and production layout has been generated.  

The total operating hour of production is 8 hours per day with 5 working days per week. Based on the analysis of current and future market, the average requirement of sugar is 177 packages per day. The output of sugar is estimated to produce 177 packages per day and an average of 3,564 packages per month. By comparing the three plans, the subcontracting plan is require lowest cost option. Thus, subcontracting plan is the most suitable plan in aggregate planning process since our company possesses in-house production to cover the demand of sugar.

In addition, manufacturing cost is very crucial in producing sugar. It includes direct cost and indirect cost. The total cost of sugar is RM0.91 per package and the selling price is RM3.05 per package in market. The margin percentage that charged is 121.48%, which is from RM0.91 of total cost per package. For the profit planning and break-even analysis, the company can achieve break-even analysis on 634 packages which sales is RM 1,280.68 monthly. Last but not least, capital investment discussed on determining the investment on new machine that can increase the production of sugar.


2.0 PRODUCT PROFILE

Sugar is any of numerous sweet, colourless, water-soluble compounds present in the sap of seed plants and the milk of mammals and making up the simplest group of carbohydrates. About 80% of the world’s sugar comes from sugarcane, a perennial grass that is grown in tropical and subtropical areas. The other 20% comes from sugar beets, grown mostly in the temperate zones of the Northern Hemisphere. The top producers are Brazil, India, China, Thailand and Pakistan. Sugar can be classified into different types such as:

Type of Sugar

Features

Granulated Sugar

The most refined kind, it is not sticky at all because its moisture has been removed. It is also known as table or refined sugar.

Coarse Sugar

The sugar crystals are larger, which means they take longer to melt or dissolve. It is also known as sanding sugar.

Superfine Sugar

A very fine sugar, it melts faster and mixes into recipes faster. It is also known as caster sugar

Pearl Sugar

Pearl sugar is course and opaque, it retains its shape and doesn’t melt at high temperatures. It is also called nib or hail sugar.

Brown Sugar

Commercial brown sugar is basically refined white sugar that has had molasses added back in. Brown sugar has high moisture content and is prone to clumping. It’s available in both light-brown and dark-brown. Light brown sugar has less molasses, which means it’s lighter, has less moisture and less acid than dark brown sugar

Powdered Sugar

Powdered sugar is very finely ground refined sugar. It usually contains corn starch to keep the sugar from clumping. It is also known as confectioners’ sugar, icing sugar or frosting sugar.

Raw Sugar

Raw sugar is an unrefined- to partially-refined sugar with a natural brown colour. It comes in varying styles — some are moister than others with a higher trace of molasses. The crystals are larger and don’t clump as easily as commercial brown sugar.

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