2 elele Problem 2 Forrest and Dan make boxes of chocolates for which the demand is uncertain and exhibits seasonality. Quarterly demand (In boxes of chocolates) for the last 3 years follows: Year 1 Year 2 Year 3 Q1 20 27 33 40 45 45 45 S5 55 Q4 30 40 40 Total 135 167 173 If demand for Year 4 is 196 boxes, use the multiplicative seasonal method to prepare a forecast for each quarter of the year. Operations Planning A. The worldorce requirements (expressed as the number of employees needed) at a package sorting center are given in the following table for the next six periods. The relevant costs are: Wages = $2500/month/worker Hiring cost-$500/worker Layoff cost = $ 250/worker Overtime cost = 150% of regular-time rate The current workforce level is 55 and overtime cannot exceed 25% of regular-time capacity 4. For a level strategy in this service example: a. What particular piece of information helps you decide the number of workers needed? b. What is the number of workers needed il massimum overtime is used? 6 50 c. Provide the complete level strategy if maximum overtime is used? Month 2 3 4 5 Forecasted demand of 50 50 75 75 50 workers) Workforce planned Hires planned Layoffs planned Overtime planned 2. Prepare a plan using a chase strategy for the above forecast. What is the cost of the plan? Month 21 3 5 6 Forecasted demand (# of 50 501 75 75 501 50 workers) Workforce planned Hires planned Layoffs planned