1) Scheduling at Washburn Guitar View the video Scheduling at Washburn Guitar (10.40 minutes, Ctrl+Click on the link); what are your key takeaways (tie to one or more of the topics discussed in Chapters 11 and/or 16) after watching this video. Note: As a rough guideline, please try to keep the written submission to one or two paragraphs. 2) Bosa Limited, a specialist confectionary manufacturer, makes a variety of confectionary products candies in its manufacturing facility at Ulaanbaatar. Its line of confectionary products exhibits a highly seasonal demand pattern. The firm’s costs and quarterly sales forecasts are as follows: Costs: Hiring cost = $200 per worker, Firing cost = $600 per worker, Inventory carrying cost = $0.60 per pound per worker, Production per employee = 1000 pounds per quarter, Beginning workforce = 125 workers. Quarter Sales Forecast/ Demand(pounds) Production Spring 80,000 95,000 Summer 50,000 95,000 Fall 100,000 95,000 Winter 150,000 95,000 a) Compute a level production strategy for the firm. Quarter Demand Production Quarterly Inventory Change Ending Inventory Spring 80,000 95,000 +15,000 15,000 Summer 50,000 95,000 +45,000 60,000 Fall 100,000 95,000 -5,000 55,000 Winter 150,000 95,000 -55,000 0 Total 380,000 380,000 130,000lbs b) Compute a chase demand production strategy for the firm. Quarter Demand Production Workers Needed (Beginning = 125) Workers Hired Workers Fired Spring 80,000 95,000 80 0 45 Summer 50,000 95,000 50 0 30 Fall 100,000 95,000 100 50 0 Winter 150,000 95,000 150 50 0 Total 380,000 100 75 c) Determine whether a level production or chase demand production strategy would more economically meet the firm’s demand for confectionery products.
1)
View the video Scheduling at Washburn Guitar (10.40 minutes, Ctrl+Click on the link); what are your key takeaways (tie to one or more of the topics discussed in Chapters 11 and/or 16) after watching this video.
Note: As a rough guideline, please try to keep the written submission to one or two paragraphs.
2) Bosa Limited, a specialist confectionary manufacturer, makes a variety of confectionary products candies in its manufacturing facility at Ulaanbaatar. Its line of confectionary products exhibits a highly seasonal demand pattern. The firm’s costs and quarterly sales forecasts are as follows: Costs: Hiring cost = $200 per worker, Firing cost = $600 per worker, Inventory carrying cost = $0.60 per pound per worker, Production per employee = 1000 pounds per quarter, Beginning workforce = 125 workers.
|
Quarter |
Sales Demand(pounds) |
Production |
|
Spring |
80,000 |
95,000 |
|
Summer |
50,000 |
95,000 |
|
Fall |
100,000 |
95,000 |
|
Winter |
150,000 |
95,000 |
- a) Compute a level production strategy for the firm.
|
Quarter |
Demand |
Production |
Quarterly Inventory Change |
Ending Inventory |
|
Spring |
80,000 |
95,000 |
+15,000 |
15,000 |
|
Summer |
50,000 |
95,000 |
+45,000 |
60,000 |
|
Fall |
100,000 |
95,000 |
-5,000 |
55,000 |
|
Winter |
150,000 |
95,000 |
-55,000 |
0 |
|
Total |
380,000 |
380,000 |
|
130,000lbs |
- b) Compute a chase demand production strategy for the firm.
|
Quarter |
Demand |
Production |
Workers Needed (Beginning = 125) |
Workers Hired |
Workers Fired |
|
Spring |
80,000 |
95,000 |
80 |
0 |
45 |
|
Summer |
50,000 |
95,000 |
50 |
0 |
30 |
|
Fall |
100,000 |
95,000 |
100 |
50 |
0 |
|
Winter |
150,000 |
95,000 |
150 |
50 |
0 |
|
Total |
380,000 |
|
|
100 |
75 |
- c) Determine whether a level production or chase demand production strategy would more economically meet the firm’s demand for confectionery products.
Step by step
Solved in 2 steps
