OPERATIONS MANAGEMENT W/ CNCT+
OPERATIONS MANAGEMENT W/ CNCT+
12th Edition
ISBN: 9781259574931
Author: Stevenson
Publisher: MCG CUSTOM
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Chapter 11, Problem 13P
Summary Introduction

To determine: The total cost of the plan using subcontract with no overtime.

Introduction: The aggregate plan is the output of sales and operations planning. The major concern of aggregate planning is the production time and quantity for the intermediate future. Aggregate planning would encompass a time prospect of approximately 3 to 18 periods.

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Although the BackPack Company has always used a levelaggregate plan, Jill is interested in evaluating chase aggregateplans also. She has asked you to calculate how many hires and fi reswould be necessary to adjust capacity to meet demand exactlyeach period. If necessary, incur some undertime. Calculate thenumber of workers needed each period.
The president of Hill​ Enterprises, Terri​ Hill, projects the​ firm's aggregate demand requirements over the next 8 months as​ follows:     January 1,400 May 2,200 February 1,600 June 2,200 March 1,800 July 1,800 April 1,800 August 1,400   Her operations manager is considering a new​ plan, which begins in January with 200 units of inventory on hand. Stockout cost of lost sales is ​$100 per unit. Inventory holding cost is ​$20 per unit per month. Ignore any​ idle-time costs. The plan is called plan C.   Plan​ C: Keep a stable workforce by maintaining a constant production rate equal to the average gross requirements excluding initial inventory and allow varying inventory levels.   Conduct your analysis for January through August. Part 2 The average monthly demand requirement=17751775 units. ​(Enter your response as a whole​ number.) Part 3 In order to arrive at the​ costs, first compute the ending inventory and stockout units for each month…
The president of Hill​ Enterprises, Terri​ Hill, projects the​ firm's aggregate demand requirements over the next 8 months as​ follows:     January 1,400 May 2,200 February 1,600 June 2,200 March 1,800 July 1,800 April 1,800 August 1,400   Her operations manager is considering a new​ plan, which begins in January with 200 units of inventory on hand. Stockout cost of lost sales is ​$100 per unit. Inventory holding cost is ​$20 per unit per month. Ignore any​ idle-time costs. The plan is called plan C.   Plan​ C: Keep a stable workforce by maintaining a constant production rate equal to the average gross requirements excluding initial inventory and allow varying inventory levels.   Conduct your analysis for January through August. Part 2 The average monthly demand requirement=1775 units. ​(Enter your response as a whole​ number.) Part 3 In order to arrive at the​ costs, first compute the ending inventory and stockout units for each month by…

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