Question: You have been asked to put together a capacity plan for a critical operation at the Barefoot Sandal Company. Your capacity measure needs to be
You have been asked to put together a capacity plan for a critical operation at the Barefoot Sandal
Company. Your capacity measure needs to be expressed as the number of machines. Three products
mens women's, and children's sandals are manufactured. The time standards processing and
setup lot sizes, and demand forecasts are given in the following table. The firm operates two
hour shifts, days per week, weeks per year. The company prefers to incorporate a capacity
cushion of percent. a How many machines are needed? Points
b After reviewing the demand forecast, the Sales Director feels that the above forecasts are too
optimistic and has revised the demand forecasts as shown below. Further, the Operations Manager
considers that a capacity cushion of percent will be sufficient. How many machines will the
company need? points
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