Question
Rowley Apparel, manufacturer of the famous Race-A-Rama swimwear line, needs help planning production for next year. Demand for swimwear follows a seasonal pattern. Given the
Rowley Apparel, manufacturer of the famous Race-A-Rama swimwear line, needs help planning production for next year. Demand for swimwear follows a seasonal pattern. Given the following costs and demand forecasts (see Excel template), test these four strategies for meeting demand:
(a) level production with overtime and subcontracting, as needed;
(b) level production with backorders, as needed;
(c) chase demand;
In part B (level strategy with backorders allowed instead of using overtime/subcontractors), what is the total number of units that must be put on backorder in this year? (DO NOT include commas (,) e.g., 5000)
Inventory Backorder Labour
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