Solution-Making production plans, Skycell, a major European

Making production plans

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Reference no: EM133513307

Skycell, a major European cell phone manufacturer, is making production plans for the coming year. Skycell has worked with its customers (the service providers) to come up with forecasts of monthly requirements (in thousands of phones) as shown in the attached Excel file.

Assuming no backlogs, no subcontracting, and no new hires, what is the optimum production schedule? What is the annual cost of this schedule?

Is there any value for management to negotiate an increase of allowed overtime per employee per month from 50 hours to 80?

Reconsider parts (a) and (b) if Skycell starts with only 1,200 employees. Reconsider parts (a) and (b) if Skycell starts with 1,800 employees.

What happens to the value of additional overtime as the workforce size decreases?

Reference no: EM133513307

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Making production plans

Reference no: EM133513307

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