TACORE Ceramic is a brand of handmade pottery consisting of mainly table wares founded in the late

of 2014. It focuses on business-to-business and have been receiving various orders from hospitality
industry ever since. In the beginning of their business, TACORE Ceramic mostly hires 10 short-
contract* employee for production process, and also 3 permanent employees responsible for product
development, finance and marketing. While for the production process in TACORE Ceramic is still using
traditional process especially the drying process that depends on the weather. The following figure
describes the summary of production process:

After several years, the demand for handmade pottery industry throughout 2015-2016 keeps on
increasing. It affects the sales condition in TACORE Ceramic also. In the first 3 months of 2015, TACORE
Ceramic focuses on procurement on inventories using capital gained through first pop-up market
event in the late 2014. Then TACORE Ceramic began the production process in April 2015. Only 3
months into the production process, TACORE Ceramic has received sudden influx on demand. The high
influx of demand made it impossible for the production process to be handled by one person alone.
In June 2015, TACORE Ceramic receives 475 units of productions for demand, but only able to take
265 pieces of it with the help of freelancers (outside of contract regular employee). That’s 45% of
demand unable to be taken care of. In Augusts 2015, TACORE Ceramic receives a demand of 1585 pcs
of production, but only able to take 90 pieces of it, in which 10% of this total production are defect
products. Another issue faced is related to daily contract employee availability that is always uncertain.
Therefore, TACORE Ceramic began cutting off the demand from various prospected clients. After
renovation process in the early 2018, TACORE Ceramic also needs to know the most efficient way to
handle the probable units of order in the future so it can work on the most efficient way of upcoming
production. To achieve this goal, the management evaluate their latest existing data on their data as
shown in table 1 and 2 below.