Hersheys Homework

Charlene Andrews
Professor Wittke
BUSS100-Business Principles
Hershey’s Homework

1. Does Hershey use process manufacturing or the assembly process? Is the production of Hershey 's chocolate an intermittent or continuous productions process? Justify your answers.

Hershey uses both process manufacturing and the assembly process to produce and manufacture their products. Process manufacturing is used during the chocolate creation phase by combining various ingredients together, such as cocoa beans, milk and sugar, that cannot be disassembled back into their original components. The assembly process is used when different components are combined together, such as chocolate and almonds to make a Hershey’s candy bar with almonds, or chocolate and peanut butter to make Reese’s Peanut Butter Cups, which is then followed by the automated packaging process.

In the production of Hershey’s chocolate a continuous process is used because different processes are performed using multiple machines with long production runs to turn out the finished product over time. For example, the cleaning of the imported cocoa beans takes place on one machine while the sorting, roasting and blending of the beans take place on different machines and when all of those processes and components (addition of milk, sugar etc.) are complete the chocolate must be refined and go through the conching process for up to 72 hours. The ingredients being processed in order to make the chocolate are continuously in motion, undergoing chemical reactions (chocolate liquor) that require heat to properly formulate. Shutting down and starting up Hershey’s continuous chocolate making process would more than likely result in a poor quality product that would need to be reprocessed or disposed of, therefore, the factory operates 24 hours per day, seven days per week with infrequent maintenance shutdowns (Hersheys.com).

2. What location factors might go into the selection of a manufacturing site for Hershey 's chocolate?

Many factors must be taken into consideration when selecting a manufacturing site location for Hershey’s. Competent planning, research and organizing must take place in order to effectively produce and ship their wide variety of products. Their plant must be located in an area that has a lot of open space that is large enough to house the factory and its huge production machines. It must be in an area that is located near major highways, railroads, airports and seaports in order to receive the overseas shipments of cocoa beans from far away countries and to have various avenues to ship their products domestically and internationally based on consumer demand. It must be in a populated region where there is a large pool of individuals with the necessary skillsets to fully staff and operate the facility. As milk is a major component of the chocolate making process, it’s also important and convenient to be situated near major dairy farms for quick and fresh milk delivery.

References:

Discover HERSHEY 'S History. (n.d.). Retrieved November 26, 2014, from http://www.hersheys.com/our-story.aspx#/home

References: Discover HERSHEY 'S History. (n.d.). Retrieved November 26, 2014, from http://www.hersheys.com/our-story.aspx#/home