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Plan A: a chase strategy that hires and fires personnel as necessary to meet the forecast Plan B: a level strategy Plan C: a level
Plan A: a chase strategy that hires and fires personnel as necessary to meet the forecast
Plan B: a level strategy
Plan C: a level strategy that produces 1,200 cases per quarter and meets the forecasted demand with subcontracting
Quarter Forecast Regular Time Production Hiring Terminating 1 (a) (b) 2 3 4 Total Cost 1,800 1,100 1,600 900 (c) (d) Total Cost: (e) Quarter Forecast Hiring Terminating Ending Regular Time Inventory (+)/ Production Stockout (-). (f) (h) 1 2 3 4 Total Cost 1,800 1,100 1,600 900 (i) Total Cost: (i) Quarter Forecast Subcontract Production Regular Time Production (k) Ending Inventory Hiring Terminating (1) 1 2 3 4 Total Cost 1,800 1,100 1,600 900 (m) (n) Total Cost: (0) Quarter Forecast Regular Time Production Hiring Terminating 1 (a) (b) 2 3 4 Total Cost 1,800 1,100 1,600 900 (c) (d) Total Cost: (e) Quarter Forecast Hiring Terminating Ending Regular Time Inventory (+)/ Production Stockout (-). (f) (h) 1 2 3 4 Total Cost 1,800 1,100 1,600 900 (i) Total Cost: (i) Quarter Forecast Subcontract Production Regular Time Production (k) Ending Inventory Hiring Terminating (1) 1 2 3 4 Total Cost 1,800 1,100 1,600 900 (m) (n) Total Cost: (0)
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