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What is Subcontracting in Production Planning about?

This document provides information needed for aggregate production planning over a 6 month period, including beginning inventory, demand forecasts, safety stock calculations, production requirements, and the costs associated with 4 different production plans. Plan 1 varies the workforce each month to meet exact production requirements, while Plan 3 keeps a constant low workforce and subcontracts any excess demand. Plan 1 results in total costs of $252,121 compared to $175,862 for Plan 3 due to lower hiring,

Author

ヅウィ プトリ

Language

EN