Operations Management IV (Prb470)

Case Study 2

Weighting: 5% (Total mark 20)

Due date: 16 April 2021

Student Number - 204541581

Question 1

The formalized forecasting method is:

To equip the manufacturing concern in terms of its supply orders i.e. raw material, decrease
or increase in the production capacities, addition of more labors in the shifts, and the level
of inventories that is adequate for the firm. 

Support the organization in terms of profit and costs evaluations which might be due to
certain cordial factors like increase in the taxes, increase in the costs of raw materials, which
would affect the shipping costs. 

Support the organization in terms of seasonal operations in production should be raised or

reduced according to the drastic changes in the industry and its specific needs.

Question 2

2 2
Week Product 1 Product 2 ∑ XY ∑Y ∑X
1 50 40 50 2500 1
2 54 38 108 2916 4
3 57 41 171 3249 9
4 60 46 240 3600 16
5 64 42 320 4096 25
6 67 41 402 4489 36
7 72 41 504 5184 49
8 76 47 608 5776 64
9 79 42 711 6241 81
10 82 43 820 6724 100
11 85 42 935 7225 121
12 87 49 1044 7569 144
13 92 43 1196 8464 169
14 96 44 1344 9216 196
SUM = 105 1021 599 8453 77249 1015
15 99,18 1487,7 9836,67 225
16 102,68 1642,88 10543,18 256
17 106,18 1805,06 11274,19 289
18 109,68 1974,24 12029,70 324
 Product 1 Product 2

120

100

80
Product 1 and 2

60

40

20

0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18

Week