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A Pizza Company has a demand forecast for the next 12 months that is shown in Table 1 The current workforce of 100 staff can

A Pizza Company has a demand forecast for the next 12 months that is shown in Table 1

The current workforce of 100 staff can produce 1500 cases of pizzas per month.

(a) Prepare a production plan that keeps the output level. How much warehouse space would the company need for this plan?

(b) Prepare a demand chase plan. What implications would this have for staffing levels, assuming that the maximum amount of overtime would result in production levels of only 10 per cent greater than normal working hours?

Table 1 demand forecast

Month Demand (cases per month)

January 600

February 800

March 1000

April 1500

May 2000

June 1700

July 1200

August 1100

September 900

October 2500

November 3200

December 900

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