Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Consuelo Chua, Inc. is a disk drive manufacturer in need of an aggregate plan for July through December. The company has gathered the following

image text in transcribed

Consuelo Chua, Inc. is a disk drive manufacturer in need of an aggregate plan for July through December. The company has gathered the following data given in the tables. There are 8 hours of production per day You manage a consulting firm down the street from Consuelo Chua, Inc., and to get your foot in the door, you have told Mr. Chua that you can do a better job at aggregate planning than his current staff, He said, "Fine. You do that, and you have a 1-year contract." To make good on your boast, you propose a new strategy. Hire 5 workers in August and 5 more in October, and subcontract to meet the rest of the demand. What will be the cost of this strategy? Costs Holding cost Subcontracting Regular-time labor Overtime labor Hiring cost Layoff cost $8/disk drive/Month $80/disk drive $12 Other data Current workforce (June) 8 people) Labor-hours/disk drive Beginning Inventory Workdays/month $18/hour (above 8 hours) $40 worker $80/worker Ending Inventory 4 hours 20 days 150 disk drives O disk drives "Note that there is no holding cost for June Fill in the table below. (Enter all responses as whole numbers in the hirefire column use positive numbers for hees-plus signs omitted, negative numbers for layoffs) Beginning Units Month Demand Inventory Produced Ending Personnel on Hire/ Staff Layoff Inventory 0 June 150 8 1 July 350 2 August 480 3 September 500 4 October 500 5 November 800 6 December 720

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Operations Management Creating Value Along the Supply Chain

Authors: Roberta S. Russell, Bernard W. Taylor

7th Edition

9781118139523, 0470525908, 1118139526, 978-0470525906

More Books

Students also viewed these General Management questions

Question

Describe contributions of Melanie Klein.

Answered: 1 week ago

Question

=+a) Find a 95% confidence interval for the mean salary.

Answered: 1 week ago