Production aggregate plan and calculate corresponding cost

Assignment Help Operation Management

Reference no: EM13902525

Develop a production aggregate plan and calculate the corresponding cost, given the following forecast: Month 1 2 3 4 5 6

Forecast 380 400 420 440 460 480

Use steady regular output of 400 units per month, use overtime as needed for up to 40 units per month, and use subcontracting to make up any needed output to match the forecast. Assume that no backorder is allowed. Hint: compare all possible production plans and select the best with the lowest total cost. Unit costs are: Regular output = $25/unit, Overtime = $40/unit, Subcontract = $60/unit, Inventory cost = $15/unit/average inventory

Reference no: EM13902525

Questions Cloud

How effective are these strategies : Are there any benefits that an employer unable to pay a market-competitive salary could offer that could overcome the lower pay? How effective are these strategies?

Evaluate how pfizer is allowing employees to be more product : evaluate how Pfizer is allowing employees to be more productive with its PfizerWorks

Ethical leadership and performance : Create five to seven (5-7) questions to ask your chosen leader to determine his / her views of motivation, ethical leadership and performance. What is one of the greatest leadership challenges you have ever faced? What did you do? What was the result..

Write about the recent terrorism or mass shootings : Write a two-page, double-spaced paper with your thoughts, emotions, opinions about the recent terrorism or mass shootings AND the media coverage surrounding it

Production aggregate plan and calculate corresponding cost : Develop a production aggregate plan and calculate the corresponding cost, given the following forecast: Month 1 2 3 4 5 6. Use steady regular output of 400 units per month, use overtime as needed for up to 40 units per month, and use subcontracting t..

Lucrative pay for performance system : What would better motivate you, a collaborative work culture or a lucrative pay for performance system? Why? What would be your ideal pay mix?

Describe your own style in relation to task and relationship : Describe your own style in relation to task and relationship orientations?

Creation of the change management plan : As the leader of the change project in an immature organization what level of direct involvement should you have in creation of the Change Management Plan? Should you be the primary author or should you delegate most of the responsibilities?

Assembly line worker making cars be evaluated : How should the performance of an assembly line worker making cars be evaluated? How should the performance of a marketing executive for the same company be evaluated? Why do your recommendations for each job differ?

User Account

All Pages