1. A pizza-making company has a demand forecast for the next 12 months that is shown in the table below. The current workforce of 100 staff can produce 1,500 cases of pizzas per month.

a) Prepare a production plan that keeps the output level. How much warehouse space would the company need for this plan?

b) Prepare a chase capacity plan. What implications would this have for staffing levels, assuming that the maximum amount of overtime would result in production levels of only 10 per cent greater than normal working hours????

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Pizza demand forecast Month Demand (cases per month) January 600 February 800 March 1,000 April 1,500 May 2,000 June 1,700 July 1,200 August 1,100 September 900 October 2,500 November 3,200 December 900