Butterfly, Inc. is making a 6-month plan for the workforce levels at their plant
ID: 472621 • Letter: B
Question
Butterfly, Inc. is making a 6-month plan for the workforce levels at their plant in Indiana.
This plant produces two different excavators: XC1 and XC2. The demand for each model over the next six months is shown below
Month
XC1
XC2
1
180
90
2
160
70
3
190
100
4
240
130
5
200
150
6
200
190
It takes 5 worker days to produce one XC1 and 8 worker days to produce one XC2. Each worker will work for 20 days per month. The initial inventory levels are expected to be 40 units of XC1 and 30 units off SC2. Butterfly wants to have 30 units of XC1 and 70 units of XC2 at the end of month.
(a) Find the aggregate demand (measured in worker days) for each of the next six months. (The aggregate demand should reflect the desired ending inventory levels.)
(b) Butterfly decided to use a mixed strategy to plan the workforce levels. They will follow a
constant workforce plan in the first three months, and they will switch to a zero inventory plan for the last three months. Find appropriate workforce schedule for month 1 through 3, month 4, month 5 and month 6.
(c) At the end of the month 6, what is the actual (i.e., true, physical) ending inventory level, measured in terms of workers days? (The desired ending inventory should be included in the consideration).
Month
XC1
XC2
1
180
90
2
160
70
3
190
100
4
240
130
5
200
150
6
200
190
Explanation / Answer
A.
B.
A B C=B+D-A D E F=E*C G=F/20 XC1 Month Opening Inventory Demand Production Closing Req Work days Total work days Workers 1 40 180 170 30 5 850 43 2 30 160 160 30 5 800 40 3 30 190 190 30 5 950 48 4 30 240 240 30 5 1200 60 5 30 200 200 30 5 1000 50 6 30 200 200 30 5 1000 50Related Questions
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