SUP-3043 Supply Chain Operations Management

• Assignment 3
• Complete the assignment and submit it in class.
• Marks Weight - 20%
• Note: Replace item #5 in the assumptions table (i.e., training costs $ 750) with the last three digits of your student ID

Date:
Instructor:
Class:
Group:

	Student First Name (In Capital)	Student Last Name (In Capital)	Student Number
1

J. C, the VP of Distribution at XYZ Logistics has just received the sales forecast for the upcoming year. (Table 1 and Chart 1 below).

Use the assumptions listed in the Assumptions Table to complete the following DC Equipment Capacity / Labour Plan and Expense Budget (Table 2) and answer the following questions

1. Which area represents the larger EXPENSE, Labour or Fixed Costs?
2. Are there any months that we do not have enough sorter capacity? If so, please indicate which months
3. If there are any months that do not have enough sorter capacity suggest 2 solutions that may resolve the problem
4. What is the TOTAL Labour EXPENSE projected and what is the TOTAL Training EXPENSE projected?
5. J.C previously told his CFO that the estimated TOTAL expense will NOT exceed $3.5 million. Was he correct?

Tips for Success

• Consider this to be formal proposal submitted to your organization.
• Use the above template for your DC Equipment Capacity / Labour Plan and Expense Budget