Aggregate Planning Chase Strategy

Paragraph Styles Adobe Acrobat Assignment 1 Data: Use the following monthly forecast to create your aggregate plans: 2020 Forecast: Month Demand 5689 6094 12592 6458 10246 15003 16489 14135 12092 9875 6082 6500 on Assume 20 production days per month (4 weeks of 5 days each) The ending inventory (for December of 2019) is 3000 units Assume 0 units on backorder at the end of 2019 The number of units produced by each worker is 250 units per month The desired safety stock level is 2000 units (you can only fall below this level to avoid having backorders, even in the Chase Strategy). Average pay applies for the first 40 hours an employee works in a week. Overtime pay applies for any time over 40 hours in a given week. The maximum level of overtime any employee can work in a month is 40 hours. You must employ whole people there are no part time employees. However, you can underutilize.) Employees do not produce more per month than is required by the plan (1.e., no efficiency gains), however than can under-produce to satisfy the conditions of the type of plan that you choose. The firm wants exactly 4000 units to be left in inventory at the end of the fiscal year after forecasted December 2020 demand is satisfied). This is a firm requirement for all plans The staffing level at the beginning of 2021 is to be the same as the original staffing level given below (any staffing changes needed to achieve this are made after the forecasted December 2021 demand is satisfied). This is a firm requirement for all plans Any backorder (negative on hand inventory) is shown as a positive value in the backorder column instead of in the inventory column since it has a different monthly cost per unit. That is, if there is backorder for a period, there will be zero on-hand inventories for that period. Be sure to fulfill backorders as soon as possible in the plan. A nment 1 Cost Information Table: Inventory holding cost $2 per unit per month based on ending inventory for month $10 an hour . $15 an hours $3000 Average pay rate Overtime pay rate Costs of hiring one additional employee Costs of firing one employee Original Staffing Level (12/2019) Material cost to produce one unit $2000 21 employees This cost in dollars per unit will be the average of the last two digits of the student ID numbers of all members of your group $5 per unit per month held based on ending backorder level for month Backorder Costs Assignment 1 Operating Constraints Table: Maximum inventory level 22,000 units due to limited warehouse capacity and increasing interest levels Maximum production capacity 17,000 units/month using regular time. Satisfying Demand Priorities Use regular production time to meet demand if you can do so without violating the two previous constraints of the constraints of your plan type. After that, choose between using safety stock anticipation inventory, backorder or overtime production. Choose the strategy that will lead to the lowest cost plan Assignment Autosavec File Home H 2 Insert B: Page Layout Draw Formulas Data Review View Help Acrobat Power Pivot Search N TI Od Overtime Production LU and 5 JAN FEB II . 7 MAR B APR 9 MAY 10 JUN 11 JUL 12 AUG 13 SEP 14 OCT IS NOV 16 DEC Year End Ad 6094 12592 6458 10246 15003 16489_ 14135 12092 9875 6082 6500 DELLE These ti To Cost 19 Ted By 20 21 Te Pan Cost 22 Coutperunt goed equale: 24|Fill in white, blue and green cells only. Do not put values in the grey cells. Executive Summary Chase Plan Leyllization Paragraph Styles Adobe Acrobat Assignment 1 Data: Use the following monthly forecast to create your aggregate plans: 2020 Forecast: Month Demand 5689 6094 12592 6458 10246 15003 16489 14135 12092 9875 6082 6500 on Assume 20 production days per month (4 weeks of 5 days each) The ending inventory (for December of 2019) is 3000 units Assume 0 units on backorder at the end of 2019 The number of units produced by each worker is 250 units per month The desired safety stock level is 2000 units (you can only fall below this level to avoid having backorders, even in the Chase Strategy). Average pay applies for the first 40 hours an employee works in a week. Overtime pay applies for any time over 40 hours in a given week. The maximum level of overtime any employee can work in a month is 40 hours. You must employ whole people there are no part time employees. However, you can underutilize.) Employees do not produce more per month than is required by the plan (1.e., no efficiency gains), however than can under-produce to satisfy the conditions of the type of plan that you choose. The firm wants exactly 4000 units to be left in inventory at the end of the fiscal year after forecasted December 2020 demand is satisfied). This is a firm requirement for all plans The staffing level at the beginning of 2021 is to be the same as the original staffing level given below (any staffing changes needed to achieve this are made after the forecasted December 2021 demand is satisfied). This is a firm requirement for all plans Any backorder (negative on hand inventory) is shown as a positive value in the backorder column instead of in the inventory column since it has a different monthly cost per unit. That is, if there is backorder for a period, there will be zero on-hand inventories for that period. Be sure to fulfill backorders as soon as possible in the plan. A nment 1 Cost Information Table: Inventory holding cost $2 per unit per month based on ending inventory for month $10 an hour . $15 an hours $3000 Average pay rate Overtime pay rate Costs of hiring one additional employee Costs of firing one employee Original Staffing Level (12/2019) Material cost to produce one unit $2000 21 employees This cost in dollars per unit will be the average of the last two digits of the student ID numbers of all members of your group $5 per unit per month held based on ending backorder level for month Backorder Costs Assignment 1 Operating Constraints Table: Maximum inventory level 22,000 units due to limited warehouse capacity and increasing interest levels Maximum production capacity 17,000 units/month using regular time. Satisfying Demand Priorities Use regular production time to meet demand if you can do so without violating the two previous constraints of the constraints of your plan type. After that, choose between using safety stock anticipation inventory, backorder or overtime production. Choose the strategy that will lead to the lowest cost plan Assignment Autosavec File Home H 2 Insert B: Page Layout Draw Formulas Data Review View Help Acrobat Power Pivot Search N TI Od Overtime Production LU and 5 JAN FEB II . 7 MAR B APR 9 MAY 10 JUN 11 JUL 12 AUG 13 SEP 14 OCT IS NOV 16 DEC Year End Ad 6094 12592 6458 10246 15003 16489_ 14135 12092 9875 6082 6500 DELLE These ti To Cost 19 Ted By 20 21 Te Pan Cost 22 Coutperunt goed equale: 24|Fill in white, blue and green cells only. Do not put values in the grey cells. Executive Summary Chase Plan Leyllization