650 400 525 650 240 month 3 o t 850 600 725 850 60

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Unformatted text preview: h month. Subcontracting (the work only: the company will provide the raw materials) is possible, but external capacity is limited to 12, 15, 15 and 17 units for the next four months respectively. Costs for this problem are: − subcontracting: $650 per unit − inventory holding: $125 per unit per month − backlog: $250 per unit per month (one month maximum) − hiring: $500 per worker − laying off: $750 per worker RT Capacity for month 1 RT Capacity for month 1 (30 emp. x 15 days/mo. x 8hrs/day) / 20 hrs/unit = 180 units RT Capacity for months 2, 3, and 4 (30 emp. x 20 days/mo. x 8hrs/day) / 20 hrs/unit = 240 units OT Capacity for month 1 (30 emp. x 30hrs/emp.) / 20 hrs/unit = 45 units OT Capacity for months 2, 3, and 4 (30 emp. x 40hrs/emp.) / 20 hrs/unit = 60 units . . Month 1 . . Month 2 . Month 3 0 Begin. . . . Month 4 125 . . Ending Inventory 250 375 . Excess . . Capacity 500 Inv. REG. 85 400 525 650 775 900 180 Month 1 O-T 600 725 850 975 1100 45 Sub-C 650 775 900 1025 1150 12 REG. 650 400 525 650 775 240 Month 2 O -T 850 600 725 850 975 60 Sub-C 900 650 775 900 1025 15 REG. 650 400 525 650 240 Month 3 O-T 850 600 725 850 60 Sub-C 900 650 775 900 15 REG. 650 400 525 240 Month 4 O -T 850 600 725 60 Sub-C 900 650 775 17 DEMAND 255 294 321 301 50 35 35 1269 . . . Month 1 . . Month 2 Inv. 125 . . Month 4 250 . . Ending Inventory 375 . Excess . . Capacity 500 85 REG. 85 0 400 525 170 Month 1 . Month 3 0 Begin. . O-T 650 775 900 180 10 600 725 850 975 1100 9 Sub-C 0 10 650 775 900 1025 36 36 45 1150 12 12 REG. 400 650 525 650 775 240 Month 2 O-T 850 600 900 725 850 975 6 44 Sub-C 650 10 16 10 775 900 650 O-T 900 0 725 650 775 900 400 650 525 0 O-T 850 600 900 650 16 1 DEMAND 170 255 0 294 54 44 0 321 8...
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This document was uploaded on 02/10/2014.

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