Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Supply Chain Management Answer Everything Correctly for a Like! Company XYZ wants to develop a Sales and Operations Plan for 12 months of 2024 for

Supply Chain Management
image text in transcribed
image text in transcribed
image text in transcribed
Answer Everything Correctly for a Like!
Company XYZ wants to develop a Sales and Operations Plan for 12 months of 2024 for their Mattress product family. The forecasted demand for 2024 is provided in the table below. There is no beginning inventory in January 2024. the regular production capacity is 450 units and the regular production cost is $30 per unit. Overtime costs $12 extra and is limited to 50 units per month. Back orders cost $40 per unit and there is a cost of $5 per month to hold a unit in inventory. On average, 10 hours of labor is needed to produce one mattress and each worker can work 150 hours per month. At the end of December 2023, the company has 20 workers. The estimated cost to hire a worker is $2,000 and the estimated cost to lay off a worker is $1,600. \begin{tabular}{|l|l|} \hline April & 350 \\ \hline May & 350 \\ \hline June & 300 \\ \hline July & 280 \\ \hline August & 300 \\ \hline September & 460 \\ \hline October & 480 \\ \hline November & 500 \\ \hline December & 550 \\ \hline \end{tabular} 1. Develop a S\&OP using the level strategy for the 12 months of the planning horizon. 2. Develop an S\&OP using the Chase strategy for the 12 months of the planning horizon. 3. Which plan should be used and why

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Successful Time Management

Authors: Patrick Forsyth

Chinese 1st Edition

7508679814, 978-7508679815

More Books

Students also viewed these General Management questions

Question

=+ (a) If A(An1) bA(1) for all / and if b Answered: 1 week ago

Answered: 1 week ago