National Wing Company (NWC)is Gearing Up for the New B-48

question 13

Essay

National Wing Company (NWC)is gearing up for the new B-48 contract.Currently NWC has 100 equally qualified workers.Over the next three months NWC has made the following commitments for wing production:
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$$\begin{array} { c c } \text { Month } & \text { Wing Production } \\\hline \text { May } & 20 \\\text { June } & 24 \\\text { July } & 30\end{array}$$ Each worker can either be placed in production or can train new recruits.A new recruit can be trained to be an apprentice in one month.The next month,he,himself,becomes a qualified worker (after two months from the start of training).Each trainer can train two recruits.The production rate and salary per employee is estimated below.
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$$\begin{array} { | c | c | c | } \hline \text { Employee } & \underline { \text { Production Rate (Wings/Month) } } & \underline { \text { Salary Per Month } } \\\hline \text { Production } & .6 & \$ 3,000 \\\hline \text { Trainer } & .3 & 3,300 \\\hline \text { Apprentice } & .4 & 2,600 \\\hline \text { Recruit } & .05 & 2,200 \\\hline\end{array}$$ At the end of July,NWC wishes to have no recruits or apprentices but have at least 140 full-time workers.Formulate and solve a linear program for NWC to accomplish this at minimum total cost.

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Definitions:

Appraisal Cost

The cost associated with evaluating or inspecting products or materials to ensure they meet the necessary quality standards.

Prevention Cost

Costs incurred to prevent defects in products or services, part of Quality Costs.

Internal Failure Costs

Costs incurred when a product or service does not meet quality standards before being delivered to the customer, including scrap and rework expenses.

Product Cost Method

An accounting method that determines the cost to produce a product by summing the costs of raw materials, direct labor, and allocated overhead.