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Production Requirement Period j (weeks) Requirement d, (units) Suppliers Options Supplier 1 Supplier 2 300 1 Leadtime (weeks) 1-4 5-7 28 1-3 4-8 29

Production Requirement Period j (weeks) Requirement d, (units) Suppliers Options Supplier 1 Supplier 2 300 1 Leadtime (weeks) 1-4 5-7 28 1-3 4-8 29 2 240 3 340 4 260 Maximum quantity (units) 600 1500 d=3300 500 1200 ' d; = 3300 5 360 Unit price (S) 3.05 3.00 2.95 6 400 2.95 2.90 2.85 7 100 h = 0.3 $/unit/period. Suppliers Prices 2 4 5 6 7 1 3 3.05 3.05 3.05 3.05 2.95 2.95 2.95 2.90 2.90 2.90 2.90 2.90 2.85 3.00 3.00 3.00 1 Use solver to find the optimal production and procurement solution 8 9 10 2.95 2.95 2.95 2.85 8 500 9 600 10 200

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