Varying utilization plan, Project Management

Assignment Help:

Varying Utilization Plan

The utilization of workers is varied keeping it he workforce size and inventory size constant. The number of workers is kept constant in this plan. During the months of low demand the workers produce less so as to match the demand and they have a lot of idle regular production are produced by overtime on the part of workers. The idle time on the part of workers during months of low demand is a loss to the company which pays full wages to its employees. On the other hand the company incurs overtime costs during periods of high demand. Overtime is usually expensive compared to the regular wages given to workers. In addition. Excess overtime leads to less effectiveness on the part of workers and much more accidents because of lack of concentration. Still the company saves on inventory costs which are almost negligible in this plan.

These basic planning strategies should preferably not be used in isolation from each other as each one of these has typical drawbacks. A combination of these strategies is used in preparing the aggregate production plan.


Related Discussions:- Varying utilization plan

How is inventory procurement costs expenditure connected, How is Inventory ...

How is Inventory procurement costs expenditure connected? Inventory procurement costs that consists of expenditure connected along with as a. Its Receiving quotations b.

Explain what is public-private-partnership, Question : (a) Explain wha...

Question : (a) Explain what is public-private-partnership (PPP)? (b) What are the benefits of public-private-partnership? (c) Explain the different forms PPP arrangeme

Concept of values to an individual, An organisation's capacity to maintain ...

An organisation's capacity to maintain a sustainable competitive advantage depends largely on its core competencies as well as the ability to refine and enhance them in the context

Advantage of in-house project management service, Question: Using the e...

Question: Using the example of Back~to~Future International, a newly setup organization and taking advantage of in-house project management service as set out in Question (

Relationship-reporting arrangements of manager with sponsor, What type of r...

What type of relationship and reporting arrangements must the project manager have with the sponsor? The sponsor of a project shows the management of the organisation which com

Element of total quality management, In order to adopt and initiate TQM ...

In order to adopt and initiate TQM within any organization it is necessary to understand the key elements. These elements which form the essential core of the TQM phil

What is differentiation in organisation structure, What do you mean by diff...

What do you mean by differentiation in organisation structure? Differentiation implies differences in cognitive and emotional orientation in between managers in various departm

Determine the progress and control status of the project, i) Explain the p...

i) Explain the project management control technique called earned value analysis and illustrate the fundamental concepts. Justify your answer. ii) Determine the progress and

How are carrying costs varied with quantity order, How are carrying costs v...

How are carrying costs varied with quantity order? Carrying Costs, that vary along with quantity ordered, contained as a. There Interest on capital investment b. There Co

Explain how effective teamwork is beneficial, Question: (a) Explain how...

Question: (a) Explain how effective teamwork is beneficial to both the individual and the organisation. (b) Team leaders have to be on the lookout for symptoms of ineffecti

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd