Calc for Aggregate

planning
Aggregate Plan decision Variables Constraints
Period Ht Lt Wt Ot It St Ct Pt Demand
No of hiredNo of Layoffs Workforce Overtime Inventory Stockout Contracting Production Workforce Capacity Inventory Overtime
- 1,100 50,000
1 - - 1,100 - 44,000 - - 994,000 1,000,000 - 62,000 (0) 22,000
2 - - 1,100 - - - - 1,056,000 1,100,000 - - - 22,000
3 200 - 1,300 6,000 284,000 - - 1,284,000 1,000,000 - - - 20,000
4 - - 1,300 26,000 488,000 - - 1,404,000 1,200,000 - - - -
5 - - 1,300 26,000 392,000 - - 1,404,000 1,500,000 - - - -
6 - - 1,300 26,000 196,000 - - 1,404,000 1,600,000 - - - -
7 - - 1,300 26,000 - - - 1,404,000 1,600,000 - - - -
8 - 200 1,100 - 44,000 - - 944,000 900,000 - 112,000 (0) 22,000
9 - - 1,100 - - - - 1,056,000 1,100,000 - - - 22,000
10 90 - 1,190 - 342,400 - - 1,142,400 800,000 - - - 23,800
11 110 - 1,300 25,933 346,000 - - 1,403,600 1,400,000 - - - 67
12 - - 1,300 26,000 50,000 - - 1,404,000 1,700,000 - - - -

Aggregate Plan Costs

Period Hiring Layoff regular time Overtime Inventory Stockout Subcontract Material Material cost 20 $/unit
1 - - 3,520,000 - 132,000 - - 19,880,000 Invholdingcost 3 $/unit/m
2 - - 3,520,000 - - - - 21,120,000 Stockout - $/unit/m
3 160,000 - 4,160,000 180,000 852,000 - - 25,680,000 Hiringand trngcost 800 $/worker
4 - - 4,160,000 780,000 1,464,000 - - 28,080,000 Layoff cost 1,200 $/worker
5 - - 4,160,000 780,000 1,176,000 - - 28,080,000 Labor hrs reqd hr/unit
6 - - 4,160,000 780,000 588,000 - - 28,080,000 Regular time cost 3,200 $/m
7 - - 4,160,000 780,000 - - - 28,080,000 OTcost 30 $/hr
8 - 240,000 3,520,000 - 132,000 - - 18,880,000 Subcontract cost - $/unit
9 - - 3,520,000 - - - - 21,120,000 Regular output 10 min/unit
10 72,000 - 3,808,000 - 1,027,200 - - 22,848,000 Regular output 6 unit/hr
11 88,000 - 4,160,000 778,000 1,038,000 - - 28,072,000
12 - - 4,160,000 780,000 150,000 - - 28,080,000
320,000 240,000 47,008,000 4,858,000 6,559,200 - - 298,000,000
Total Cost = 356,985,200

50 seasonal 80000 60,000 48,960,000 4,390,000 6,720,000 - - 298,000,000

100 seasonal
160000 120,000 49,907,200 3,390,000 5,081,520 - - 298,000,000
356,658,720

200 seasonal
320000 240,000 47,008,000 4,858,000 6,559,200 - - 298,000,000
356,985,200

Conclusion:
it will lose if it reduces regular manpower and increases seasonal manpower to 200, due to