ChIV-AggregatePlanning

Move 2000 to other periods equally 400 each period

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Unformatted text preview: period). 52,618 15 We will now calculate costs for the final plan. 16 Ex 6. Level Strategy Unit holding cost: $60/ period Period Demand Final Plan Regular OT SC End Inventory Regular OT SC Holding Total Capacity Regular Overtime SubSub-contract 6000 1200 4000 Capacity in P5 0 0 6000 Unit cost $1000 $1150 $1250 Ex 6 Can we improve costs for the chase strategy budget of Ex. 5? Unit holding cost: $60 / period Capacity Capacity in P5 Unit cost Regular Overtime SubSub-contract Period Requirement Basic plan plan Regular Overtime Subcontract Inventory 1 5000 5000 5000 0 0 0 2 6000 6000 6000 0 0 0 3 8000 8800 6000 1200 1600 800 6000 1200 4000 4 9000 11200 6000 1200 4000 3000 0 0 6000 5 9000 6000 0 0 6000 0 6 11000 11000 6000 1200 3800 0 $1000 $1150 $1250 Total 48000 1 2 3 8000 8400 6000 1200 1200 6200 6000 1380 1500 372 9252 4 9000 8400 6000 1200 1200 5600 6000 1380 1500 336 9216 5 6 Total 48000 Chase Strategy 5000 6000 8400 8400 6000 6000 1200 1200 1200 1200 3400 5800 6000 6000 1380 1380 1500 1500 204 348 9084 9228 9000 11000 6000 8400 0 6000 0 6000 2600 0 0 7500 156 7656 1200 1200 0 6000 1380 1500 0 8880 Costs in thousand dollars 53,316 17 Move 1000 SC units from P3 to P1-regular. Savings: $130,000 P1Move 600 SC units from P3 to P2 – overtime....
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