Production and Operations Analysis, Seventh Edition
Production and Operations Analysis, Seventh Edition
7th Edition
ISBN: 9781478623069
Author: Steven Nahmias, Tava Lennon Olsen
Publisher: Waveland Press, Inc.
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Chapter 3, Problem 36AP

a

Summary Introduction

To determine:

Minimum Constant workforce plan, hiring, firing and holding cost.

Introduction:

Linear program is a mathematical technique in which some variable maximized or minimized and some are kept constraint.

b

Summary Introduction

To determine:

Impact on cost if 1 month is required for training a new employee.

Introduction:

Linear program is a mathematical technique in which some variable maximized or minimized and some are kept constraint.

c

Summary Introduction

To determine:

Impact on cost if maximum number of emplyee can be hired is 10.

Introduction:

Linear program is a mathematical technique in which some variable maximized or minimized and some are kept constraint.

d

Summary Introduction

To determine:

Linear program for production level.

Introduction:

Linear program is a mathematical technique in which some variable maximized or minimized and some are kept constraint.

e

Summary Introduction

To determine:

Cost of the linear program

Introduction:

Linear program is a mathematical technique in which some variable maximized or minimized and some are kept constraint.

f

Summary Introduction

To determine:

Optimal plan subject to constraint.

Introduction

Optimal plan is a plan in which efficiency and effectiveness of all variables are maximized. It is a plan in which worker’s output is maximum while keeping cost and time minimized.

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Question content area Part 1 Oakwood Hospital is considering using ABC analysis to classify laboratory SKUs into three​ categories: those that will be delivered daily from their supplier​ (Class A​ items), those that will be controlled using a continuous review system​ (B items), and those that will be held in a two bin system​ (C items).   The following table shows the annual dollar usage for a sample of eight SKUs. Fill in the blanks for annual dollar usage below. ​(Enter your responses rounded to the nearest whole​ number.)   Part 2 Rank the SKUs in descending order on the basis of their annual dollar usage and fill in the table with the ranked​ SKU's percentage of dollar usage. ​(Enter your responses rounded to two decimal​ places.)
Sam's Pet Hotel operates 51 weeks per year, 6 days per week, and uses a continuous review inventory system. It purchases kitty litter for $13.00 per bag. The following information is available about these bags: > Demand 70 bags/week > Order cost $58.00/order > Annual holding cost 30 percent of cost > Desired cycle-service level = 80 percent >Lead time 4 weeks (24 working days) > Standard deviation of weekly demand = 15 bags > Current on-hand inventory is 320 bags, with no open orders or backorders. a. Suppose that the weekly demand forecast of 70 bags is incorrect and actual demand averages only 45 bags per week. How much higher will total costs be, owing to the distorted EOQ caused by this forecast error? The costs will be $ higher owing to the error in EOQ. (Enter your response rounded to two decimal places.)
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