Linear Programming is a popular optimization tool. For Module 1 and 2, this course dived into various applications of Linear Programming. This discussion is dedicated to another application of linear programming based on the first Case. Read the Case first, which is available on the Harvard Business Publishing Coursepack. Please visit the course introduction and buy the Coursepack if you have not done so yet. Team Alpha already worked on the case presentation and made it available for this discussion. Watch it and refer to the teams ppt for details. It will be helpful to understand the issues, analytical methods, and insights. Students are encouraged to conduct their own analysis on the Case and offer answers and insights to the Case questions. Feel free to share your analysis results with the class. Students are welcome to comment on the groups presentation or make suggestions for their written Case analysis. Please understand that students are not required to answer all the questions but can focus on a certain aspect of the Case.

Here are the questions to discuss.

Case: Rougir Cosmetics International: Production Optimization

Questions

1. What are the costs for producing the three products in-house?
2. Develop a linear programming model for this problem
3. What production schedule minimizes total cost including outsourcing, and what is the value of the objective function?
4. Which labor and material resources are completely used up, and what are the corresponding shadow prices?
5. What is the production schedule if hand cream can be subcontracted out at a cost of $50 per carton?
6. What is the production schedule if the demand for each product is increased by 10 percent that hand cream can be outsourced at $50 per carton?
7. What are some future trends in outsourcing skin care products manufacturing, particularly as they relate to e-commerce?
8. What are some challenges associated with employing subcontractors?

Note the significant role that your posts play in this discussion board. Although online learning can prevent students from interacting directly with one another, it does offer opportunities to learn from each other. The Discussion Board is a great way to achieve high-quality collective learning. Make your main post up by Friday and read and comment on other posts throughout the module. At least five quality comments are necessary to receive the total credits from the discussion board. Please refer to the Rubric for grading criteria. Your early and active contributions are appreciated. Stay away from the temptation of plagiarism. Your academic integrity is far more important than good grades. Use APA style when referencing a source. Be genuine and professional in interacting with each other online.