7. Petra's custom ornaments personalizes ornaments on the spot. She has a small kiosk at the...

 

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7. Petra's custom ornaments personalizes ornaments on the spot. She has a small kiosk at the mall, where customers walk up, select the ornament and specify the personalization. Petra can have up to three employees. An inexperienced employee takes 5 minutes to personalize each ornament is paid $12/hour and works 6 hour days each. She can hire an experienced personalizer who can produce the personalization in 2 minutes per ornament for $18/hour for a 6 hour day. If she has a request for 40 ornaments to be personalized each hour, calculate a) waiting time for each ornament, using the various combinations of employees, and b) identify what option gives the best utilization of employee time. 8. Jaleel's ornament company has three employees. Each full-time employee can make 150 ornaments per month, while each part time employee can produce 100 ornaments. The demand for ornaments is as follows July 800 August 900 September 1500 October 2200 Beginning inventory is 400. They cost $10 to make, and have a carrying cost of 25% per year. Develop an aggregate plan that uses the 3 full time employees. Assume all employees will produce at full potential. Calculate the inventory carrying cost associated with your plan using planned end of month levels. Show the total cost for the year and explain whether or not you need any temporary employees. 7. Petra's custom ornaments personalizes ornaments on the spot. She has a small kiosk at the mall, where customers walk up, select the ornament and specify the personalization. Petra can have up to three employees. An inexperienced employee takes 5 minutes to personalize each ornament is paid $12/hour and works 6 hour days each. She can hire an experienced personalizer who can produce the personalization in 2 minutes per ornament for $18/hour for a 6 hour day. If she has a request for 40 ornaments to be personalized each hour, calculate a) waiting time for each ornament, using the various combinations of employees, and b) identify what option gives the best utilization of employee time. 8. Jaleel's ornament company has three employees. Each full-time employee can make 150 ornaments per month, while each part time employee can produce 100 ornaments. The demand for ornaments is as follows July 800 August 900 September 1500 October 2200 Beginning inventory is 400. They cost $10 to make, and have a carrying cost of 25% per year. Develop an aggregate plan that uses the 3 full time employees. Assume all employees will produce at full potential. Calculate the inventory carrying cost associated with your plan using planned end of month levels. Show the total cost for the year and explain whether or not you need any temporary employees.

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ANSWER Lets tackle each question one by one Question 7 a To calculate the waiting time for each ornament using the various combinations of employees w... View the full answer