5_1_Final_Milestone_Two__Data_Analysis Info rcb

Use in Exhibit 1: Product Production Requirements Criteria/Vendor Face Cream Body Cream Hand Cream the demand for the th Labor (hour/carton) Stage 1 1.5 1.8 1.0 Stage 2 0.8 1.0 0.5 Material (pounds/carton) Water 8.0 6.0 7.0 two-stage production Oil 1.0 3.0 2.0 Scents and Colors 0.5 0.3 0.4 Emulsifiers 0.5 0.7 0.6 Stage 1 involved stage 2 focused on first-shif second shif The cost for raw mater subcontractor/local su face cream/carton body cream/carton The production department had available 200,000 pounds of purified water, 50,000 pounds of oil, 7,500 pounds of scents and colours, and 15,000 pounds of emulsifiers (see Exhibit 1).

hree products for the upcoming quarter procedure that used four ingredients: Stage 1 15,000 $8.50 Stage 2 10,000 $9.25 Stage 1 15,000-1500 13,500 Stage 2 10,000-1000 9,000 $9.35 rials was 200,000 pounds of purified water 50,000 pounds of oil 7,500 pounds of scents and colours 15,000 pounds of emulsifiers upplier for face cream and body cream at a cost of $40 per carton and $55 per cartonhad the capacity to meet th $40 $55 · 12,000 cartons of face cream · 8,000 cases of body cream · 18,000 cases of hand cream · purified water · oil · scents and colours · emulsifiers · materials preparation and initial mixing · final blending and packaging · $1 per pound for purified water, · $1.50 per pound for oil, · $3 per pound for scents and colours · $2 per pound for emulsifiers.

SHIFT DETAILS Face Cream, Shift 1 Item $/Unit Cost ($) Face Cream, Shift 2 Item Labor Stage 1 1.50 8.50 12.75 Labor Stage 1 Labor Stage 2 0.80 9.25 7.40 Labor Stage 2 Water 8.00 1.00 8.00 Water Oils 1.00 1.50 1.50 Oils Scents/Colors 0.50 3.00 1.50 Scents/Colors Emulsifiers 0.50 2.00 1.00 Emulsifiers Total 25.25 32.15 Total Body Cream, Shift 1 Item $/Unit Cost ($) Body Cream, Shift 2 Item Labor Stage 1 1.80 8.50 15.30 Labor Stage 1 Labor Stage 2 1.00 9.25 9.25 Labor Stage 2 Water 6.00 1.00 6.00 Water Oils 3.00 1.50 4.50 Oils Scents/Colors 0.30 3.00 0.90 Scents/Colors Emulsifiers 0.70 2.00 1.40 Emulsifiers Total 25.25 37.35 Total Hand Cream Shift 1 Item $/Unit Cost ($) Hand Cream, Shift 2 Item Labor Stage 1 1.00 8.50 8.50 Labor Stage 1 Labor Stage 2 0.50 9.25 4.63 Labor Stage 2 Water 7.00 1.00 7.00 Water Oils 2.00 1.50 3.00 Oils Scents/Colors 0.40 3.00 1.20 Scents/Colors Emulsifiers 0.60 2.00 1.20 Emulsifiers Total 25.25 $25.53 Total Resource Required Resource Required Resource Required

$/Unit 1.50 9.35 14.03 0.80 10.18 8.14 8.00 1.00 8.00 1.00 1.50 1.50 0.50 3.00 1.50 0.50 2.00 1.00 27.03 34.17 $/Unit 1.80 9.35 16.83 1.00 10.18 10.18 6.00 1.00 6.00 3.00 1.50 4.50 0.30 3.00 0.90 0.70 2.00 1.40 27.03 39.81 $/Unit 1.00 9.35 9.35 0.50 10.18 5.09 7.00 1.00 7.00 2.00 1.50 3.00 0.40 3.00 1.20 0.60 2.00 1.20 27.03 26.84 Resource Required Cost ($) Resource Required Cost ($) Resource Required Cost ($)

aints, minimization problem) Objective Unit Cost 25.53 26.84 $1,362,112.00 min 1.00 15000 ≤ 15,000 8.50 0.50 7600 ≤ 10,000 9.25 1.00 4800 ≤ 13,500 9.35 0.50 2400 ≤ 9,000 10.18 7.00 7.00 126000 ≤ 200,000 1.00 2.00 2.00 39000 ≤ 50,000 1.50 0.40 0.40 7500 ≤ 7,500 3.00 0.60 0.60 11500 ≤ 15,000 2.00 12000 ≥ 12,000 8000 ≥ 8,000 1 1 18000 ≥ 18,000 13200 4800 Hand Cream (HC), Shift 1 Hand Cream, Shift 2

Production Schedule - Based on Sensitivity Analysis Optimal Production Plan Method/Product Face Cream Body Cream Hand Cream Shift 1 0 1,000 13,200 Shift 2 0 0 4,800 Vendor 12,000 7,000 0 Total 12,000 8,000 18,000 Total cost: $1,368,178.00

$ - $ 37,350.00 $ 374,346.00 $ 336,996.00 $ - $ - $ 128,832.00 $ 128,832.00 $ 480,000.00 $ 385,000.00 $ 865,000.00 $ -

Graphs with Product Amount Changes - Costs Remain the Same Optimal Production Plan - ORIGINAL Method/Product Face Cream Body Cream Hand Cream Shift 1 0 1,000 13,200 Shift 2 0 0 4,800 Vendor 12,000 7,000 N/A Total 12,000 8,000 18,000 Total cost: $1,368,178.00 Optimal Production Plan - increase production by 15% Method/Product Face Cream Body Cream Hand Cream Shift 1 0 1,150 15,180 Shift 2 0 0 5,520 Vendor 13,800 8,050 0 Total 13,800 9,200 20,700 Total cost: 1,573,404.70

Optimal Production Plan - increase production by 10% Method/Product Face Cream Body Cream Hand Cream Shift 1 0 1,100 14,520 Shift 2 0 0 5,280 Vendor 13,200 7,700 0 Total 13,200 8,800 19,800 Total cost: 1,504,995.80 Optimal Production Plan - increase production by 20% Method/Product Face Cream Body Cream Hand Cream Shift 1 0 1,200 15,840 Shift 2 0 0 5,760 Vendor 14,400 8,400 0 Total 14,400 9,600 21,600 Total cost: 1,641,813.60