Question: Course Name: Supply Chain MGMT & Operations Q2. (2 marks) Your company are producing their New Product. In order to produce their New Product, they

Course Name: Supply Chain MGMT & Operations

Q2. (2 marks) Your company are producing their New Product. In order to produce their New Product, they have 2 machines (2 operators per machine) and they currently have 4 operators/staff. Each machine has a capacity of producing 4500 New Products per year. The demand for the New Product for the next three years is given in the table below:

Year

2022

2023

2024

New Product

8500

7000

4500

  1. Calculate the capacity utilization for 2022, 2023 & 2024
  2. Calculate the machine and labor requirements for 2022, 2023 & 2024
  3. As demand is decreasing, your company is thinking of selling one of the machines for their New Products and moving 1 operator to another, more profitable department. Check whether after this action (selling one machine and moving 1 operator to another department), the company has enough capacity to handle the demand for 2024. Please show the calculations and formulate your arguments in words afterwards.

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