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# OSCM 230 Group Case 1 Management Science Professor Dong Chandpur Enterprises Limited, Steel Division (Due February 26, 2013) A clearly written case...

Hi, can I have an answer to question 5(b) in this case study. Thanks

OSCM 230 Management Science Group Case 1 Professor Dong Chandpur Enterprises Limited, Steel Division (Due February 26, 2013) A clearly written case report is expected. 5 out of the 100 points will be assigned to legibility. Exhibits and tables are provided in Excel file Chandpur_Enterprises_Limited_Darden_Case_Supplement.xlsx ,” available on Blackboard. Executive Summary is NOT required. Detailed Analysis is required. Submit your Excel file electronically at Blackboard: Group Cases->Turn in Group Case #1 Excel File. Hard copy Excel spreadsheets are expected to be included in the report. Case Questions 1. [30pts]If you were making only one batch, what is the best batch you could make? What is the profit associated with this batch? a. [5pts]Define decision variables. b. [10pts]Describe objective [profit maximization] and constraints in words and write down complete LP formulation (objective function, constraints). c. [5pts] Build a spreadsheet for the LP formulation, and solve it. d. [5pts] Provide number version and formula version of the LP model, both with gridlines, and row and column headings. Provide a screen capture of the Solver Configuration . e. [5pts] Provide Answer Report and Sensitivity Report. 2. [10pts]How much time does the one batch suggested in Question 1 consume? If CEL produces this kind of batches for the month of August, how many batches can it produce? What is the monthly profit? 3. [10pts] Did the regulatory constraint of 4 ton (i.e., 4,000 kg) per batch of finished product hamper your ability to make more profit? Is it worthwhile to seek regulatory approval to increase that limit? For example, if we increase the batch size by 100 kg (~2.5% increase), what is the implication for the monthly profit? If it requires approximately INR 1,300,000 in capital and time investment to increase the batch size by just 100kg, how long does it take us to recover that cost? 4. [10pts]CEL has used some amount of all seven raw materials in the past. A vendor may be somewhat unhappy if CEL does not order a particular type of raw material. How much profit will Akshay Mittal lose if he must use at least one unit of raw material in a batch given he would otherwise choose not to use that raw material? 5. [20pts]Now consider the monthly supply constraints. Create a monthly model to decide raw materials to order per month, and number of batches to produce per month.
OSCM 230 Management Science Group Case 1 Professor Dong a. [10pts]Construct a nonlinear programming model. This is rather straightforward, and does not require defining new decision variables. b. [10pts]Construct a linear programming model. This is a bit more challenging, and you might need to define new decision variables. In that case, define decision variables. For both (a) and (b) i. Write down complete formulation (objective function, constraints). ii. Build a spreadsheet for the formulation, and solve it. iii. Provide number version and formula version of the model, both with gridlines, and row and column headings. 6. [15pts] Do you have any further suggestions for how to improve monthly profit?

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