Aggregate Production Planning > Note: Highlighted information are given. 1. Develop an aggregate production plan using a constant workforce that minimizes total cost without shortage. 2. Calculate the total cost. Requirements: Beginning Conditions: 1. No shortage allowed. 31 = O units 2. Use the level strategy, Beg Wkrs 270 workers 3. Decision variable: # of Workers Output Rate 50 units/wkr 4. No hire or layoff during the planning period. Aggregate Production Plan Month Jan Feb Mar April May June Total ITEM DESCRIPTION/FORMULA Shipment Forecast 9,000 17,000 18,000 16,000 10,000 8,000 Shipment Fore given Aggregate Production Plan Aggregate Proc = #of workers output rate/worker/month Output Plan Output Plan Shipments Shipments = smaller of total quantity available, demand forecast), where total quantity available = El of previous month - APP quantity Ending Inventory (Bl=0 Ending Invento = total quantity available - shipment Input Plan Input Plan # of Workers (BW=270) # of Workers ( a decision variable Hires Hires # of workers of current month - # of workers of previous month, if # of workers increases Layoffs Layoffs #of workers of previous month - # of workers of current month, if # of workers decreases Costs: Cost Unit Cost Units Subtotal Straight Tin 800 / wkr/mo Inventoryt 1 /unit/mo Hiring Cost 1,000 /kr Layoff Cost 500 /kr Total Cost Intermediate Calculation: Determining the minimum # of workers required: Month 1 2 3 Cumulative Demand 9,000 26,000 44,000 60,000 70,000 78,000 Ave Demand/Month 9,000 13,000 14,667 15,000 14,000 13,000 Highest Ave 15,000 # Wkrs Reg 300 use this to develop the Aggregate Production Plan) Total Aggregate Production Planning > Note: Highlighted information are given. 1. Develop an aggregate production plan using a constant workforce that minimizes total cost without shortage. 2. Calculate the total cost. Requirements: Beginning Conditions: 1. No shortage allowed. 31 = O units 2. Use the level strategy, Beg Wkrs 270 workers 3. Decision variable: # of Workers Output Rate 50 units/wkr 4. No hire or layoff during the planning period. Aggregate Production Plan Month Jan Feb Mar April May June Total ITEM DESCRIPTION/FORMULA Shipment Forecast 9,000 17,000 18,000 16,000 10,000 8,000 Shipment Fore given Aggregate Production Plan Aggregate Proc = #of workers output rate/worker/month Output Plan Output Plan Shipments Shipments = smaller of total quantity available, demand forecast), where total quantity available = El of previous month - APP quantity Ending Inventory (Bl=0 Ending Invento = total quantity available - shipment Input Plan Input Plan # of Workers (BW=270) # of Workers ( a decision variable Hires Hires # of workers of current month - # of workers of previous month, if # of workers increases Layoffs Layoffs #of workers of previous month - # of workers of current month, if # of workers decreases Costs: Cost Unit Cost Units Subtotal Straight Tin 800 / wkr/mo Inventoryt 1 /unit/mo Hiring Cost 1,000 /kr Layoff Cost 500 /kr Total Cost Intermediate Calculation: Determining the minimum # of workers required: Month 1 2 3 Cumulative Demand 9,000 26,000 44,000 60,000 70,000 78,000 Ave Demand/Month 9,000 13,000 14,667 15,000 14,000 13,000 Highest Ave 15,000 # Wkrs Reg 300 use this to develop the Aggregate Production Plan) Total