SOP%20-%20Solver%20Soln

SOP%20-%20Solver%20Soln - Aggregate Planning - Class...

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Aggregate Planning - Class Example - Version 1.0 INPUT THERE IS AN LP MODEL EMBEDDED IN THIS SHEET! RT Production Cost $6 OT Production Cost $8 Subcontracting Cost $10 Direct labor wage rate = [$(8-6)/0.5] per unit = $4/unit Inventory Holding Cos $4 Payroll cost per worker per quarter = ($4/unit)*(10 units/qr.) = $40 Hiring Cost $100 Layoff Cost $80 Subcontracting Limit 250 Decision Variables Payroll Cost $40 Constraints (LHS) Optimal Aggregate Plan OUTPUT Inventory Workforce RT OT Production Ending Workforce Balance Balance Cap. Cap. Quarter Demand RT OT Subcontr. Inventory Hires Layoffs Size = 0 = 0 <= 0 <= 0 (RHS) 0 200 10 1 100 0.00 0.00 0.00 100.00 0.00 0.00 10.00 0.00 0.00 -100.00 -25.00 2 200 111.11 0.00 0.00 11.11 1.11 0.00 11.11 0.00 0.00 0.00 -27.78 3 400 111.11 27.78 250.00 0.00 0.00 0.00 11.11 0.00 0.00 0.00 0.00 4 200 111.11 27.78 161.11 100.00 0.00 0.00 11.11 0.00 0.00 0.00 0.00 333.33 55.56 411.11 211.11 1.11 0.00 43.33 Total Relevant Cost = $7,511.11 This does not include the idle labor cost in quarter 1. The LP model is incomplete!
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This note was uploaded on 03/16/2012 for the course OPM 325 taught by Professor Ruodu during the Spring '12 term at Drexel.

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SOP%20-%20Solver%20Soln - Aggregate Planning - Class...

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