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Your job is to determine a recommendation for the TABLE 6 company. A recommendation must include a plan for Material, Production, and Assembly Costs ($)

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Your job is to determine a recommendation for the TABLE 6 company. A recommendation must include a plan for Material, Production, and Assembly Costs ($) per Part or Set production and sales. In addition, you should also ad- Plants dress the following sensitivity-analysis issues in your Products Chandler Glendale ucson recommendation: Steel shafts 5 If you could get more graphite or advertising cash, Graphite shafts 19 18 20 how much would you like, how would you use it, Forged iron heads 4 5 5 and what would you be willing to pay? Metal wood heads 10 11 12 At what site(s) would you like to add extra pack- Titanium insert heads 26 24 27 ing machine hours, assembly hours, and/or extra Set: Steel, metal 178 175 180 labor hours? How much would you be willing to Set: Steel, insert 228 220 240 pay per hour and how many extra hours would you Set: Graphite, metal 350 360 370 like? Set: Graphite, insert 420 435 450 Marketing is trying to get Golf-Sport to consider an advertising program that promises a 50% in- TABLE 7 crease in their maximum demand. Can we handle Revenue per Part or Set ($) this with the current system or do we need more Plants resources? How much more is the production go- ing to cost if we take on the additional demand? Products Chandler Glendale Tucson Steel shafts 10 10 12 TABLE 4 Graphite shafts 25 25 30 Forged iron heads 8 8 10 Time Total Time Available Metal wood heads 18 18 Plant [Minutes per set) [Minutes 22 Titanium insert heads 40 40 45 Chandler 65 5,500 Set: Steel, metal 290 290 310 Glendale 60 5,000 Set: Steel, insert 380 380 420 Tucson 65 6.000 Set: Graphite, metal 560 560 640 Set: Graphite, insert 650 650 720 TABLE 5 Minimum and Maximum Product Demand per Month Store (or Plant) Products Chandler Glendale Tucson Steel shafts [0, 2,000] [0, 2,000] [0, 2,000] Graphite shafts [100, 2,000] [100, 2,000] [50, 2,000] Forged iron heads [200, 2,000] [200, 2,000] [100, 2,000] Metal wood heads [30, 2,000] [30, 2,000] [15, 2,000] Titanium insert heads [100, 2,000] [100, 2,000] [100, 2,000] Set: Steel, metal [0, 200] [0, 200] [0, 200] Set: Steel, insert [0, 100] [0, 100] [0, 100] Set: Graphite, metal [0, 300] [0, 300] [0, 300] Set: Graphite, insert [0, 400] [0, 400] [0, 400]

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