Figure 6.2 Structured bill of materials (BOM) for sponge cake
Too many and cakes will have to be thrown away, because the shelf life is 5 to 8 days (Victoria does not use stabilisers like potassium sorbate). Too few and sales will be lost. Accurate planning is thus crucial to the efficiency of the whole operation. The ideal situation is that cakes are made and delivered just-in-time to meet customer demand because inventories will be low and freshness at its best.