Produces number of variations in medical equipment

Assignment Help Operation Management

Reference no: EM132226313

Green Incorporated produces a number of variations in medical equipment. The production manager has developed the following aggregate forecast:

Month Mar Apr May June July Aug Sept Total

Forecast 60 50 50 65 50 45 46 366

Other data/information to develop the aggregate plan:

Regular production cost $80 per unit

Overtime production cost $120 per unit

Regular capacity 40 units per month

Overtime capacity 8 units per month

Subcontracting cost $140 per unit

Subcontracting capacity 12 units per month

Holding cost $10 per unit per month

Back order cost $20 per unit

Beginning inventory 0 units

Develop an aggregate plan using the following guidelines and compute the total cost for this plan:

a. Use regular production. Supplement using inventory, overtime and subcontracting as needed. No backlogs allowed.

In a sentence or two, please discuss your findings.

Reference no: EM132226313

Questions Cloud

What circumstance is better to use monte carlo : Explain under what circumstance is better to use Monte Carlo Simulation instead of Expected Value to make a decision.

Compute process capability index-process capability ratio : Compute the process capability index and process capability ratio to assess whether the filling process is capable and set properly.

Developed aggregate forecast for demand : A planner has developed an aggregate forecast for demand (in cases) for the next six months.

Enforceable under washington state law : Kathleen Lowden sued cellular phone company T-Mobile, claiming that its service agreements were not enforceable under Washington state law.

Produces number of variations in medical equipment : Green Incorporated produces a number of variations in medical equipment. The production manager has developed the following aggregate forecast:

What is the purpose of the EOQ and the ROP : What is the purpose of the EOQ and the ROP? How can they be used together?

What is apple management strategy and leadership : What is Apple's management strategy and leadership? Please explain in detail.

Dirt bikes management has asked for briefing : Dirt Bikes management has asked for a briefing on what is involved in making this decision. They need to understand several things:

Each method in terms of selling to international customers : Choose two methods of payments and provide three advantages and disadvantages of each method in terms of selling to international customers.

User Account

All Pages