XYZ has $7$ production lines with a max. capacity $($Actual O$/$P$)$ of $250,000$ box of tea per month. During $2022,$ the capacity of the factory critically covered the market demand. However, the company might face a problem to cover the expected demand in the future. Thus, it seems criticalto rethink their capacity for future. During the meeting, the operations manager proposed two capacity alternatives to increase their capacity. The first alternative is to buy a new production line. The second alternative is to continue outsourcing to a third$-$party producer. The following table indicates the annual fixed and variable cost per unit of each alternative:

Buy a new line

Outsourcing

Fixed cost

LE $12,000,000$

None

Variable cost

LE $40/$Box

LE $44/$Box

Besides, for the short term, there is a need to reconsider the use of the company resources while maintaining the same quality of their products. Accordingly, the operations manager proposed a process improvement initiative that reduces processing time for each box $($the company operates $8$ hr$./$day$),$ so that output is increased by $15\%,$ but $5$ additional workers required for each production line. Originally, $15$ operators are needed to operate each line $(7$ production lines$).$ Operator costs are LE $10/$hour$,$ and material input is LE $2/$box and operating line cost LE $300/$hr$.$ Overhead is charged at $1\mathrm{.}4$ times direct labor cost $($before and after the proposed initiative$).$ As a member of the improvement team, you are required to assess the feasibility of the proposed initiative with respect to its effect on the productivity of the production lines $($assume that the output is evenly distributed among the $7$ lines$).$ Assess the two alternatives $($outsourcing vs insourcing$)$ and determine the appropriate decision based on $2024$ forecast and determine when it is appropriate to outsource and which year the new production line is a must.