Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
12th Edition
ISBN: 9780134855424
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Textbook Question
Chapter 10, Problem 8P
Tax Prep Advisers, Inc. has
The company currently has 10 associates. No more than 10 new hires can be accommodated in any month because of limited training facilities. No backorders are allowed, and overtime cannot exceed 25 percent of regular-time capacity on any month. There is 110 cost for unused overtime capacity. Regular-time wages are $1,500 per month, and overtime wages are 150 percent of regular-time wages. Undertime is paid at the same rate as regular time. The hiring cost is $2,500 per person, and the layoff cost is $2,000 per person.
- Prepare a staffing plait utilizing a level workforce strategy, minimizing undertime. The plan may call for a one-time adjustment of the workforce before month 1.
- Using a chase strategy, prepare a plan that is consistent with the constraint on hiring and minimizes use of overtime.
- Prepare a mixed strategy in which the workforce level is slowly increased by two employees per month through month 5 and is then decreased by two employees per month starting in month 6 and continuing through month 12. Does this plan violate the hiring or overtime constraints set the company?
- Contrast these three plans on the basis of annual costs.
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Chapter 10 Solutions
Operations Management: Processes and Supply Chains, Student Value Edition Plus MyLab Operations Management with Pearson eText -- Access Card Package (12th Edition)
Ch. 10 - List the types of costs incurred when employees...Ch. 10 - Prob. 2DQCh. 10 - Prob. 3DQCh. 10 - Explain why management should be concerned about...Ch. 10 - The Barberton Municipal Division of Road...Ch. 10 - Bob Canton’s golf camp estimates the following...Ch. 10 - Prob. 3PCh. 10 - Prob. 4PCh. 10 - Management at the Kerby Corporation has determined...Ch. 10 - Gretchen’s Kitchen is a fast-food restaurant...
Ch. 10 - Prob. 7PCh. 10 - Tax Prep Advisers, Inc. has forecasted the...Ch. 10 - Climate Control, Inc. makes expedition-quality...Ch. 10 - Prob. 11PCh. 10 - Gemini Inc. is using the Sales and Operations...Ch. 10 - Gerald Glynn manages the Michaels Distribution...Ch. 10 - Cara Ryder manages a ski school in a large resort...Ch. 10 - Prob. 15PCh. 10 - Prob. 17PCh. 10 - The Hickory Company manufactures wooden desks....Ch. 10 - Prob. 19PCh. 10 - The Mowry Machine Shop still has five jobs to be...Ch. 10 - If we use the same number of workers in each...Ch. 10 - Prob. 2AMECh. 10 - Prob. 3AMECh. 10 - Suppose the overtime cost is $3,300. What happens...Ch. 10 - Suppose the undertime cost is the same as the...Ch. 10 - Prob. 6AMECh. 10 - Prob. 1VCCh. 10 - Does Starwood employ a chase, level, or mixed...Ch. 10 - How would staffing for the opening of a new hotel...Ch. 10 - Explain the alternatives available to Darlene Fry...Ch. 10 - Prob. 2C
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