Q2. (2 marks) Your company are producing their New Product. In order to produce their New Product, they have 4 machines (2 operators per machine) and they currently have 8 operators/staff. Each machine has a capacity of producing 1500 New Products per year. The demand for the New Product for the next three years is given in the table below: Year 2022 2023 2024 New Product 5500 5000 4500

a) Calculate the capacity utilization for 2022, 2023 & 2024 b) Calculate the machine and labor requirements for 2022, 2023 & 2024

c) As demand is decreasing, your company is thinking of selling one of the machines for their New Products and moving 1 operator to another, more profitable department. Check whether after this action (selling one machine and moving 1 operator to another department), the company has enough capacity to handle the demand for 2024. Please show the calculations and formulate your arguments in words afterwards.

Q3. (1 mark) During this review of your company, can you advise 2 areas/processes in their supply chain that works well and 1 area/process that you think they need to improve on?