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( PLEASE USE THE SOLVER ADD - IN ON EXCEL TO SOLVE THIS PROBLEM AND SHOW ALL OF THE INPUT ) Skycell, a major European
PLEASE USE THE SOLVER ADDIN ON EXCEL TO SOLVE THIS PROBLEM AND SHOW ALL OF THE INPUT Skycell, a major European cell phone manufacturer, is making production plans for the coming year. Skycell has worked with its customers the service providers to come up with forecasts of monthly requirements in thousands of phones as shown in Table Manufacturing is primarily an assembly operation, and capacity is governed by the number of people on the production line. The plant operates for days a month, eight hours each day. One person can assemble a phone every minutes. Workers are paid euros per hour and a percent premium for overtime. The plant currently employs workers. Component costs for each cell phone total euros. Given the rapid decline in component and finishedproduct prices, carrying inventory from one month to the next incurs a cost of euros per phone per month. Skycell currently has a nolayoff policy in place. Overtime is limited to a maximum of hours per month per employee. Assume that Skycell has a starting inventory of units and wants to end the year with the same level of inventory
a Assuming no backlogs, no subcontracting, and no new hires, what is the optimum production schedule? What is the annual cost of this schedule?
b Is there any value for management to negotiate an increase of allowed overtime per employee per month from hours to
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