Problem 2 Forrest and Dan make boxes of chocolates for which the demand is uncertain and exhibits seasonality. Quarterly demand (in boxes of chocolates) for the last 3 years follows: Quarter Q1 02 Q3 Q4 Total Year 1 3,000 1,700 900 4,400 10,000 Year 2 3,300 2.100 1,500 5,100 12.000 Year 3 3,502 2,448 1.768 5,882 13.600 If demand for Year 4 is 14,800 boxes, use the multiplicative seasonal method to prepare a forecast for each quarter of the year. Operations Planning I A. The workforce requirements (expressed as the number of employees needed) at a package sorting center are given in the following table for the next six periods. The relevant costs are: Wages = $2500/month/worker Hiring cost = $500/worker Layoff cost = $ 250/worker Overtime cost = 150% of regular-time rate The current workforce level is 55, and overtime cannot exceed 25% of regular-time capacity 1. For a level strategy in this service example: a. What particular piece of information helps you decide the number of workers needed? b. What is the number of workers needed if maximum overtime is used? l 6 50 c. Provide the complete level strategy if maximum overtime is used? Month 2 4 5 Forecasted demand (# of 50 50 75 75 50 workers) Workforce planned Hires planned Layoffs planned Overtime planned For B. S&F Associates is a music player manufacturer in need of an aggregate plan for July to December. The company has gathered the following data. Month July August Sept Oct Nov Dec Demand 400 500 500 700 800 700 Beginning inventory = 0 units; Inventory holding costs = $10.00/unit/month; Hiring costs = $40/ worker; Layoff costs = $ 80/worker; Current workforce level = 8 workers; Workdays/month = 20; Hours per day = 8; Each employee can produce 40 players per month; Regular time wages = $10 per hour; 1. For a level strategy in this manufacturing example: a. What information helps you decide the production rate needed? b. What is the production rate? C. Calculate the workers needed d. Calculate the anticipation inventory Problem 2 Forrest and Dan make boxes of chocolates for which the demand is uncertain and exhibits seasonality. Quarterly demand (in boxes of chocolates) for the last 3 years follows: Quarter Q1 02 Q3 Q4 Total Year 1 3,000 1,700 900 4,400 10,000 Year 2 3,300 2.100 1,500 5,100 12.000 Year 3 3,502 2,448 1.768 5,882 13.600 If demand for Year 4 is 14,800 boxes, use the multiplicative seasonal method to prepare a forecast for each quarter of the year. Operations Planning I A. The workforce requirements (expressed as the number of employees needed) at a package sorting center are given in the following table for the next six periods. The relevant costs are: Wages = $2500/month/worker Hiring cost = $500/worker Layoff cost = $ 250/worker Overtime cost = 150% of regular-time rate The current workforce level is 55, and overtime cannot exceed 25% of regular-time capacity 1. For a level strategy in this service example: a. What particular piece of information helps you decide the number of workers needed? b. What is the number of workers needed if maximum overtime is used? l 6 50 c. Provide the complete level strategy if maximum overtime is used? Month 2 4 5 Forecasted demand (# of 50 50 75 75 50 workers) Workforce planned Hires planned Layoffs planned Overtime planned For B. S&F Associates is a music player manufacturer in need of an aggregate plan for July to December. The company has gathered the following data. Month July August Sept Oct Nov Dec Demand 400 500 500 700 800 700 Beginning inventory = 0 units; Inventory holding costs = $10.00/unit/month; Hiring costs = $40/ worker; Layoff costs = $ 80/worker; Current workforce level = 8 workers; Workdays/month = 20; Hours per day = 8; Each employee can produce 40 players per month; Regular time wages = $10 per hour; 1. For a level strategy in this manufacturing example: a. What information helps you decide the production rate needed? b. What is the production rate? C. Calculate the workers needed d. Calculate the anticipation inventory