Develop a Hybrid Aggregate Plan with Inventory, but No Back

question 23

Essay

Develop a hybrid aggregate plan with inventory, but no back orders. Also, use no undertime and no subcontracting. Also use no firing, since the company is projecting a 20% annual growth rate per year over the next several years. When demand minus opening inventory exceeds regular plus maximum overtime production, hire enough employees to meet demand, working as much overtime as possible. When demand is less than regular time production, work no overtime and add to inventory (data given above).
(a) What is the workforce at the end of the last period? How many total were hired?
(b) How many total units were produced using overtime?
(c) What is the maximum ending inventory and when does it occur?
(d) What is the total cost?
(e) What is the cost per unit?

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Definitions:

Deep Structure

In linguistics, the underlying syntactic structure or meaning of a sentence, as opposed to the surface structure which is how the sentence is expressed verbally.

Surface Structure

In linguistics, the term refers to the outward form of a sentence, which can vary without altering its deep structure or meaning.

Stroop Effect

A demonstration of cognitive interference where a delay in the reaction time of a task occurs due to a mismatch between the name of a color (e.g., "red," "blue") and the color it is printed in.

Heuristics

Mental shortcuts or rules of thumb that simplify decision making, sometimes at the cost of accuracy or completeness.