EBK OM
EBK OM
6th Edition
ISBN: 9781305888210
Author: Collier
Publisher: YUZU
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Chapter 13, Problem 3PA

a

Summary Introduction

Interpretation:

Recommended production rate if level strategy is adopted.

Concept Introduction:

A Level strategy refers to keeping the regular production level constant even when the demand varies among different periods. Under this strategy, the labor and other resources have equal requirement throughout the planning horizon. Therefore, it is easy to implement the level strategy.

b

Summary Introduction

Interpretation:

Level production rate with no ending inventory in month 4

Concept Introduction:

A Level strategy refers to keeping the regular production level constant even when the demand varies among different periods. Under this strategy, the labor and other resources have equal requirement throughout the planning horizon. Therefore, it is easy to implement the level strategy.

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