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6. Becky Bright, the President of Brighter Products, LLC, is planning to prepare an aggregate plan. The company manufactures desk lamps in a contemporary style.
6. Becky Bright, the President of Brighter Products, LLC, is planning to prepare an aggregate plan. The company manufactures desk lamps in a contemporary style. The capacity of the plant is 1,500 lamps per month and it takes 30 minutes to make a lamp. At the beginning of July, they find that they have no lamps in the warehouse. The company pays their workers $20 per hour for regular shift work and $30 for overtime. The materials cost $15 per unit. The inventory carrying cost is $15 per unit. Becky hires only bright talent and does not want to lay off workers as she can assign them to other jobs. Hiring costs are $150 per worker at their plant. a. Develop a chase plan to match the forecast demand for the following demand. b. Ms. Bright wants to consider an alternative plan with no overtime but use a subcontractor who can deliver excess products required at $25 per unit. Would this alternative plan cost less for Brighter Products
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