Reference no: EM131359180
You manage a consulting firm down the street from Consuelo Chua, Inc., and to get your foot in the door, you have told Ms. Chua that you can do a better job at aggregate planning than her current staff. She said, "Fine. You do that, and you have a one year contract." You now have to make good on your boast using the data in Problem. You decide to hire 5 workers in August and 5 more in October. Your results?
Problem - Consuelo Chua, Inc., is a disk drive manufacturer in need of an aggregate plan for July through December. The company has gathered the following data:
|
Costs
|
|
Holding cost
|
$8/disk/month
|
|
Subcontracting
|
$80/disk
|
|
Regular-time labor
|
$12/hour
|
|
Overtime labor
|
$18/hour for hours above 8 hours/worker/day
|
|
Hiring cost
|
$40/worker
|
|
Layoff cost
|
$80/worker
|
|
Demand*
|
|
July
|
400
|
|
Aug.
|
500
|
|
Sept.
|
550
|
|
Oct.
|
700
|
|
Nov.
|
800
|
|
Dec.
|
700
|
* No costs are incurred for unmet demand, but unmet demand (backorders) must be handled in the following period. If half or more of a worker is needed, round up.
|
Other Data
|
|
Current workforce (June)
|
8 people
|
|
Labor-hours/disk
|
4 hours
|
|
Workdays/month
|
20 days
|
|
Beginning inventory
|
150 disks**
|
|
No requirement for ending inventory
|
0 disks
|
What will each of the two following strategies cost?
a) Vary the workforce so that production meets demand. Chua had eight workers on board in June.
b) Vary overtime only and use a constant workforce of eight.
|
Do customers always know what they value in a product
: Do customers always know what they value in a product? How does an organization sell its products or services to customers who are not aware of their buying preference?
|
|
Explain the ancient civilization on the africa continent
: Explain the ancient civilization on the africa continent.
|
|
The firm has no preferred stock outstanding
: Internal Growth Rate Leash N Collar reported a profit margin of 8.3%, total asset turnover ratio of 1.8 times, debt-to-equity ratio of 0.78 times, net income of $430,000, and dividends paid to common stockholders of $230,000. The firm has no preferre..
|
|
Medicare beneficiary lives in or travels to a foreign
: If a Medicare beneficiary lives in or travels to a foreign country, does or should Medicare cover medical services rendered in that country - for either an emergent encounter or on an ongoing basis?
|
|
What will each of the two following strategies cost
: What will each of the two following strategies cost? Vary the workforce so that production meets demand. Chua had eight workers on board in June
|
|
Determine the amount of energy and money
: If the price of electricity is $0.08/kWh, determine the amount of energy and money that will be saved as a result of installing motion sensors. Also, determine the simple payback period if the purchase price of the sensor is $32 and it takes 1 hou..
|
|
What are vision and mission statements
: BUS 485- What are vision and mission statements? What is their value for the strategic management process? Select an example of strong Vision/Mission (cite your source). What are its positive characteristics?
|
|
Prepare the journal entries for any impairment loss
: Prepare the journal entry(ies) for any impairment loss occurring at 30 June 2015 - how the existence of goodwill will affect the impairment test - the basic steps to be followed in applying the impairment test.
|
|
Discuss the major causes of the french revolution
: Discuss the major causes of the French Revolution and the escalation of violence from 1789 to 1794. Explain why women, who had hoped to gain status during the Revolution, found their expectations stifled. Describe in detail three domestic polici..
|