Red Tomato Tools

Monthly Demand
Period Month Demand
t Dt 1000

1 January 1,600 1,100 27.50

2 February 3,000 3,000 75.00

3 March 3,200 3,200 80.00

4 April 3,800 3,800 95.00

5 May 2,200 2,200 55.00

6 June 2,200 2,200 55.00

16,000 500
2,666.67

8 12 0
Time required for 1 unit: 4 hrs

No. of units on a single day: 2

No. of units in a month: (20 days 40

 Work- Over Stock- Sub-
Period Hired Laid Inventory Production
force Time out Contract
Demand
t Ht Lt Wt Ot It St Ct Pt Dt
50 50 640 6 2 5 30 10
0 80 1000
1 16 64 2560 2560 1000
2 64 2120 2560 3000
3 64 900 20 2560 3800
4 64 -280 140 1200 2560 4800
5 1 63 240 2520 2000
6 63 1360 2520 1400
0 850 244480 0 13800 700 36600 152800 16000
Total Cost: 449,230 Production: 15500
65 2583.333
2584
65 64.6

Work- Over Stock- Sub-

Period Hired Laid Inventory Production
force Time out Contract Demand
t Ht Lt Wt Ot It St Ct Pt Dt
300 500 640 6 2 5 30 10
0 80 1000
1 0 16 64 0 1960 0 0 2560 1600
2 0 0 64 0 1520 0 0 2560 3000
3 0 0 64 0 880 0 0 2560 3200
4 0 0 64 0 0 220 140 2560 3800
 5 0 0 64 0 140 0 0 2560 2200
6 0 0 64 0 500 0 0 2560 2200
Total Cost: 422,660 16000
15500
2583.333333
64.58333333

Work- Over Sub-

Period Hired Laid W1 Inventory Stock-out
force Time Contract
t Ht Lt Wt W1 W2 Ot It St Ct
50 50 640 6 2 5 30
0 80 20 1000
1 0 15 65 79 34 45 0 1480 0 0
2 1 0 38 0 0 0 0
3 69 0 107 0 480 5.96046E-07 0
4 1 0 108 0 0 1.49008E-07 0
5 0 58 50 0 0 1.49006E-07 0
6 0 2 48 0 500 0 0
3550 3750 266240 0 4920 4.4703E-06 0
Total Cost: 433,460
 Workforce Capacity Inventory Overtime
2560 Wt = Wt-1 + Ht – Lt
Wt - Wt-1 - Ht + Lt = 0

1600 1000 0 0 0 640

3000 3000 0 0 0 640
3200 3800 0 0 0 640
3800 4800 0 0 280 640
2200 2000 0 0 -140 630
2200 1400 0 0 0 630
#REF! #REF!
F4+I5+E5+H5-G4-J5

Workforce CapacityInventoryOvertime
Wt = Wt-1 + Ht – Lt
Wt - Wt-1 - Ht + Lt = 0

0 0 0 640
0 0 0 640
0 0 0 640
0 0 0 640
 0 0 0 640
0 0 0 640

Production
Demand
Pt Dt
10

1480 1000
1520 3000
4280 3800
4320 4800
2000 2000
1900 1400
155000 16000
15500
64.5833333333 2583.333
2584
65 64.6
 Stock- Sub-
Period Hired Laid Work-force Over Time Inventory Production
out Contract
t Ht Lt Wt Ot It St Ct Pt
3200 30 3 20
0 1250 50
January 0 0 1250 250 1200
February 0 0 1250 350 1200
March 0 0 1250 550 1200
April 0 0 1250 17500 655 1305
May 0 0 1250 25000 505 1350
June 0 0 1250 25000 255 1350
July 0 0 1250 25000 5 1350
August 0 0 1200 257 1152
September 0 0 1250 357 1200
October 0 0 1250 757 1200
November 0 0 1250 557 1200
December 0 0 1250 57 1200
0 0 47840000 2775000 13665 0 0 298140
Total Cost: 50,926,805
Avg/Mon
Avg HR

Assembly time: 10 minutes

Item per person per day 48
Item per person per month 960

Per hour Labour rate 20 Euro

Over time Limit 20 hrs /month

Opening Inventory 50000

Ending Inventor 50000
Demand Workforce Capacity Inventory Overtime
Dt Wt = Wt-1 + Ht – Lt
Wt - Wt-1 - Ht + Lt = 0

1000 1600 1000 0 48800 0 12500

1100 3000 3000 0 48800 0 12500
1000 3200 3800 0 48800 0 12500
1200 3800 4800 0 53070 0 -5000
1500 2200 2000 0 54900 0 -12500
1600
1600
900
1100
800
1400
1700 2200 1400 0 48800 -52 12500
14900 1.91E+09 4.76E+08

1241.667
1293.40
All workers engagged, Inventory build:
Invento Invento
Work- WF WF Over
Period Hired Laid ry ry
force Router Switch Time
Router Switch
t Ht Lt Wt WR WS Ot IR IS
Rates/Opening-> 1600 10 2 1
0 6300 4000 2300 100 50
Jan 0 0 6300 4000 2300 0 220 658
Feb 0 0 6300 4000 2300 0 540 1466
Mar 0 0 6300 4300 2000 0 4 1886
Apr 0 0 6300 5300 1000 0 48 846
May 0 0 6300 4000 2300 0 1168 1554
Jun 0 0 6300 4000 2300 0 1288 2862
Jul 0 0 6300 4000 2300 0 2008 4370
Aug 0 0 6300 4000 2300 0 2528 5778
Sep 0 0 6300 4000 2300 0 1948 6586
Oct 0 0 6300 4000 2300 0 1068 7094
Nov 0 0 6300 4000 2300 0 1988 8502
Dec 0 0 6300 4000 2300 0 2908 9810
Cost
120960 0 31432 51412
Total:

Cost: 203,804
1 Regular Time Labour Cost = $10/hr x 8 hrs/day x 20 days /month
2 Overtime Labour Cost = 10
3 Router Per Person Per Month: 480
4 Switch Per Person Per Month: 960
Router Switch
Production 20 10 minutes
Per Worker 480 960
Wage: 10 Per hour, 50% for OT

Workforce: 6300
Over Time Limit per 20 hours

Holding Cos 2 1
Inventory 100000 50000
Only necessary workers engagged, Inventory build:
Invento
Work- WF WF WF Over
Period Hired Laid ry
force Idle Router Switch Time
Router
t Ht Lt Wt WI WR WS Ot IR
Rates/Opening-> 1600 1600 10 2
0 6300 4000 2300 100
Jan 0 0 6300 650 4000 1650 0 220
Feb 0 0 6300 300 4000 2000 0 540
Mar 0 0 6300 0 4800 1500 0 244
Apr 0 0 6300 0 4700 1600 0 0
May 0 0 6300 2800 1900 1600 0 112
Jun 0 0 6300 1600 3800 900 0 136
Jul 0 0 6300 3100 2400 800 0 88
Aug 0 0 6300 1000 4500 800 0 848
Sep 0 0 6300 0 4900 1400 0 700
Oct 0 0 6300 0 4500 1800 0 60
Nov 0 0 6300 3200 2200 900 0 116
Dec 0 0 6300 3300 2100 900 0 124
Cost
120960 0 6376
Total:

Cost: 128,924
 Sub- Product Product Deman Deman
Stock-
Contrac ion ion d d
out
t Router Switch Router Switch Workforce Capacity Inventory
St Ct PR PS DR DS Wt = Wt-1 + Ht – Lt
Wt - Wt-1 - Ht + Lt = 0

0 0 1920 2208 1800 1600 0 250080 0

0 0 1920 2208 1600 1400 0 250080 0
0 0 2064 1920 2600 1500 0 249936 0
0 0 2544 960 2500 2000 0 249456 0
0 0 1920 2208 800 1500 0 250080 0
0 0 1920 2208 1800 900 0 250080 0
0 0 1920 2208 1200 700
0 0 1920 2208 1400 800
0 0 1920 2208 2500 1400
0 0 1920 2208 2800 1700
0 0 1920 2208 1000 800
0 0 1920 2208 1000 900
0 0 0 1750 1267
3646 1319

8 hrs/day x 20 days /month

20 minuter/router
10 minuter/router
tory build:
Invento Sub- Product Product Deman Deman
Stock-
ry Contrac ion ion d d
out
Switch t Router Switch Router Switch
IS St Ct PR PS DR DS
1
50
34 0 0 1920 1584 1800 1600
554 0 0 1920 1920 1600 1400
494 0 0 2304 1440 2600 1500
30 0 0 2256 1536 2500 2000
66 0 0 912 1536 800 1500
30 0 0 1824 864 1800 900
98 0 0 1152 768 1200 700
66 0 0 2160 768 1400 800
10 0 0 2352 1344 2500 1400
38 0 0 2160 1728 2800 1700
102 0 0 1056 864 1000 800
66 0 0 1008 864 1000 900
1588 0 0 0 1750 1267
3646 1319
Overtime

63000
63000
63000
63000
63000
63000