Operations Management: An Integrated Approach, 5th Edition

Problems

Use the following data to solve the first seven problems.

Problem Data

1. The BackPack Company produces a line of backpacks. The manager, Jill Nicholas, is interested in using a level aggregate plan. Inventories and back orders will be used to handle demand fluctuations. She has asked you to develop such a plan.

• (a) Calculate the aggregate production rate.
• (b) Calculate the appropriate workforce given the aggregate production rate.
• (c) Show what would happen if this plan were implemented.
• (d) Calculate the costs of this plan.
• (e) Evaluate the plan in terms of cost, customer service, operations, and human resources.

2. Jill has decided that the BackPack Company must have very good customer service. She has asked you to develop a level aggregate plan using inventories but not back orders. All demand must be met each period. You must:

• (a) Calculate the aggregate production rate.
• (b) Calculate the appropriate workforce given the aggregate production rate.
• (c) Show what would happen if this plan were implemented.
• (d) Calculate the costs of this plan.
• (e) Evaluate the plan in terms of cost, customer service, operations, and human resources.

3. Although the BackPack Company has always used a level aggregate plan, Jill is interested in evaluating chase aggregate plans also. She has asked you to calculate how many hires and fires would be necessary to adjust capacity to meet ...