- 3000 cases per week
packed 15 bouquets per case
- labor cost including
all employer costs are about $10.00/hr
- presently an employee
generates about 18 cases of finished bouquets per hour
in a manual system using bench operated guillotines
- using a Posie Packer
cutter, either bouquet organizer or underwater cutter, productivity is increased
by 200 - 300
%. This assumption is based on my experience as well as that of other customers.
Manual
Operation
Assumes 3 bouquets are cut per stroke of the guillotine, therefore 5 strokes per case. Total time per case includes opening the box, making the bouquets even for height, , cutting, setting down till full pail count is reached, and putting into water.
Cost to process 3000 case
x 3.33 minutes = 9990 minutes / 60 minutes = 166.50 man hours per/wk ( about
18 cases per man hour or .555cents
labor per case)
Assume only a 200%
increase in productivity.
Cost per case would be
reduced to .2775
cents labor per case Savings
per week (3000 x .2775)
$832.00
(36 cases per man
hour)
Cost per case would be
reduced to .185
cents labor per case
Savings per week (3000 x .55
) $1110.00
(54 cases per man
hour)
Return
on investment calculation
Cost of a Bouquet Organizer/Power Cutter about $10,500.00 US$
Cost of a underwater cutter is about $19,500.00 US$
Bouquet
organizer:
at 200% increase in productivity
ROI $43,264.00
(52 x 832)
= 412.04
%
$10,500.00
or
Machine is paid for in 12.62 weeks……………10,500.00 = 12.62
832.00
****************************************************
at 300% increase in productivity
7.2 weeks
ROI $57,720.00
(52 x 1110)
= 549.71
%
$10.500.00
or
Machine is paid for in 9.46
weeks……………10,500.00
=
9.46
1110.00
*****************************************************
Underwater
cutter: at
200% increase in productivity
ROI $43,264.00
= 222 %
$19,500.00
or
Machine is paid for in 23.44
weeks
**************************************
at 300% increase in
productivity 16.66 weeks
ROI $57,720.00
= 296 %
$19,500.00
or
Machine is paid for in 17.57
weeks
Note:
No allowance has been made for the benefit of cutting flower stems underwater, a essential component of a good post harvest floral processing system.
**************************************
Based
on these numbers, operating a
"chop and plop" operation manually is a very expensive option.
It
should be noted that these calculations are understated. The assumption is made
that an employee does work constantly for 8 hours. Reality has shown that an
employer is lucky of he receives 6.5 hours of production per day per employee
after allowance has been made for coffee and lunch breaks etc.
The
key to the operation is that Posie Packer’s cutting machines incorporate a
delivery system that can be used by effectively by either one person or several
people at the same time; maximizing productivity for all of them. This "
elasticity of production capacity" is a feature that has been designed into
all of Posie Packer's machinery.