In a 2-cup liquid measure, dissolve yeast and 1 teaspoon sugar in warm water. Let stand until foamy, about 5 minutes.
Insert dough blade in work bowl; add flour, sugar, salt and orange rind. Process to combine. Add milk and vegetable oil to yeast mixture. With machine running on dough speed, add liquid mixture through small feed tube in a steady stream only as fast as the flour will absorb it. Continue processing until dough cleans inside of work bowl and forms a ball. Knead dough by processing for 30 seconds. Open lid to check dough consistency. If dough is stiff and somewhat dry, add 1 teaspoon water; if soft and sticky, add 1 tablespoon flour. Close lid and process for 10 seconds. Check dough consistency again, making additional adjustments if necessary. Add orange sections and cranberries; process an additional 15 seconds.