Develop a production schedule to produce the exact production requirements by varying the workforce size for the following problem.The monthly forecasts for Product X for January, February, and March are 940, 1,520, and 1,230, respectively. Safety stock policyrecommends that half of the forecast for that month be defined as safety stock. There are 22 working days in January, 19 in February,and 21 in March. Beginning inventory is 570 units.Manufacturing cost is $170 per unit, storage cost is $5 per unit per month, standard pay rate is $8 per hour, overtime rate is $12 perhour, cost of stock-out is $9 per unit per month, marginal cost of subcontracting is $8 per unit, hiring and training cost is $160 perworker, layoff cost is $260 per worker, and worker productivity is 0.1 unit per hour. Assume that you start off with 44 workers and thatthey work 8 hours per day. (Leave the cells blank, whenever zero (0) is required. Input all values as positive values. Round up"Workers Required" to the next higher whole number. Round all other answers to the nearest whole number.)JanuaryFebruaryMarchForecast9401,5201,230Safety stockBeginning inventoryNet production requiredWorkers requiredHiredLaid offActual productionEnding inventory Ending inventoryJanuaryFebruaryMarchLaborInventoryHiringLayoffTotalTotal

A Small Introduction about production Management Production management is a course of arranging,…

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Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Plan production for a four-month period: February through May. For February and March, you should produce to exact demand forecast. For April and May, you should use overtime and inventory with a stable workforce; stable means that the number of workers needed for March will be held constant through May. However, government constraints put a maximum of 5,000 hours of overtime labor per month in April and May (zero overtime in February and March). If demand exceeds supply, then backorders occur. There are 100 workers on January 31. You are given the following demand forecast: February, 90,000; March 65,000; April 110,000; May, 55,000. Productivity is four units per worker hour, eight hours per day, 20 days per month. Assume zero inventory on February 1. Costs are hiring, $50 per new worker; layoff, $70 per worker laid off; inventory holding, $10 per unit-month; straight-time labor, $10 per hour; overtime, $15 per hour; backorder, $20 per unit a. Find the total cost of this plan?
Scatter Diagrams and High-Low Cost Estimation Assume the local Pearle Vision has the following information on the number of sales orders received and order-processing costs. Month Sales Orders Order-Processing Costs 3,000 $ 165,400 1,500 100,750 4,400 241,400 2,800 163,800 2,300 139,550 1,200 86,200 2,000 125,000 1 2 3 4 5 6 7 Required (a.) Use information from the high- and low-volume months to develop a cost-estimating equation for monthly order-processing costs. $ 28,000 + $48.5 X (b.) Plot the data on a scatter diagram. Using the information from representative high-and low-volume months, develop a cost estimating equation for monthly order-processing costs. If needed, an Excel worksheet is provided in the following link in order to create the scatter diagram: Scatter_Diagram $ 15,000 X+ $53.14 X X
Assume you are the manager of a shop that assembles power tools. You have just received an order for 55 chain saws, which are to be shipped at the start of week 8. Pertinent information on the saws follows: Item Lead Time (weeks) On Hand Saw A B C D E F 2 1 2 2 1 1 2 Gross requirements Scheduled receipts Projected on hand Net requirements Planned order receipt Planned order release Ĉ E(3) & E(2) LT = 1 week Lot size: Lot-for-Lot 15 10 5 65 20 10 30 Skip Extension Tip: Double click to open in new tab Show Transcribed Text Develop the material requirements plan for component E using lot-for-lot ordering for all items. (Leave no cells blank - be certain to enter "0" wherever required.) Components A(2), B(1), C(4) E(3), D(1) D (2), F(3) E(2), D (2) Beg. Inv. 1 2 3 190 5 210 6
LMNO Gaskets has formulated a production plan for a product to meet demand over the upcoming four quarters. Demand in each of the four quarters and production, overtime, and subcontracting capacities are reported in the table below, in addition to the feasible production plan. The relevant costs are: • Regular time production cost is $10/unit. Overtime production cost is $14/unit. Subcontracting cost is $18/unit Inventory is held at a cost of $1/unit/quarter. • Units may be backordered at a cost of $4/unit/quarter. Production Resource Regular Time Q1 Overtime Q1 Subcontract Q1 Regular Time Q2 Overtime Q2 Subcontract Q2 Regular Time Q3 Overtime Q3 Subcontract Q3 Demand in Quarter Demand in Quarter Q2 0 20 0 550 Q1 550 230 0 0 0 0 40 40 0 860 250 470 0 40 0 1330 What is the inventory cost for the year? What is the backorder cost for the year? What is the total cost for the year? Q3 0 0 0 0 0 30 510 160 0 700 What is the total overtime production cost for the year? Capacity 550 250 500…
As the production planner for Xiangling Hu Products, Inc., you have been given a bill of material for a bracket that is made up of a base, 2 springs, and 4 clamps. The base is assembled from 1 clamp and\ 1 housing. Each clamp has 1 handle and 2 castings.Each housing has 1 bearing and 2 shafts.There is no inventory on hand. C) Compute the net quantities needed if there are 25 of the base and 75 of the clamp in stock. (Product structure picture attached) Base = (?) units Spring = (?) units Clamp = (?) units Housing = (?) units Handle = (?) units Casting = (?) units Bearing = (?) units Shaft = (?) units
Please do not give image format
Well water inc. wants to produce and sell a new flavored water in order topenetrate the market, the product will have to sell at 2.60 per 12 oz bottle thefollowing data has been collected: Annual sales 50,000 bottlesProjected selling and administrative costs 8,000Desired profit 80,000The target cost per bottle is _____ per bottle (2 decimal places)
Hotel Galway is a 50 room Boutique hotel in a pop-ular city break destination in Ireland. Until recently the hotel has priced each room at $120 for bed and breakfast. On aver-age 40 rooms are occupied every weekend. The variable cost of each occupied room is $30. Following an internal review man-agement has decided to try a revenue management approach, with rooms priced at $90 for bookings up to one week early and $180 for bookings within a week of their stay. It is esti-mated the hotel will sell 28 rooms at the lower price and 14 at the higher price. Variable costs will not change. Recommendwhich approach is the most feasible.
The table below contains monthly (six months) demand estimates and working days per month. Month Demand Production Days JAN 1,500 20 FEB 1,200 24 MAR 1,000 25 APR 1,600 25 MAY 1,100 20 JUN 1,300 26 For the implementation of “Level” strategy, the average demand (in units/day) over the six- month planning horizon is equal to; a. 40 b. 50 c. 55 d. 75
The table above provides the aggregate plan of production by a firm. It is known that the firm uses a level plan with lost sales, i.e., without backorders. Given this information, what is the number in the cell that says xx?
Let’s say that Glass For Sale, Inc. manufacturers replacement glass for the home remodelingindustry. In January, the company produces fifteen-thousand windows and ended the monthwith nine-thousand windows in inventory. Glass For Sale’s management team would like to develop a production schedule for the next three months. A smooth production schedule is obviously desirable due to the fact that it maintains the current workforce and provides a similar month-to-month operation. However, given the sales forecasts, the production capacities, and the storage capabilities as shown in Table two, the management teamdoes not think a smooth production schedule with the same production quantity each month is possible. The company’s cost accounting department estimates that increasing production by one window from one month to the next will increase total costs by one dollar for each unit increase in the production level. In addition, decreasing production by one unit from one month to the next…
Plan production for a four-month period (February through May). Given information: For February and March, you should produce to exact demand forecast. For April and May, you should use overtime and inventory with a stable workforce; stable means that the number of workersneeded for March will be held constant through May. However, government constraints put a maximum of 5,000 hours of overtime labor per month in April and May (zero overtime in February and March). If demand exceeds supply, then backorders occur. There are 100 workers on January 31. You are given the following demand forecast: February, 80,000; March, 64,000; April, 100,000; May, 40,000. Productivity is four units per worker hour, eight hours per day, 20 days per month. Assume zero inventory on February 1. Costs are hiring, $50 per new worker; layoff, $70 per worker laid off; inventory holding, $10 per unit-month; straight-time labor, $10 per hour; overtime, $15 per hour; backorder, $20 per unit.

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