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Modeling Analytics

by | Feb 25, 2024 | Business Finance - Operations Management

by | Feb 25, 2024 | Business Finance - Operations Management

Modeling Analytics

Suppose, instead of planning only for two products to be made at one plant, LOGO has to plan production volumes for ten products. Furthermore, LOGO now operates two different factories, and it has the option to make any product on either or both (or neither) of the two plants. The necessary input data is available on the spreadsheet LOGO Production Expanded.xlsx Download LOGO Production Expanded.xlsx. Similar to the two-product, one-plant problem discussed in class, we are given the following information about each of the ten products: the maximum demand that LOGO can sell, selling price, raw material cost, and the number of molding and packing machine-hours required to produce per unit. For each of the two plants, we are given information on the number of molding and packing machine-hours available, and the operating costs per machine hour. Using this information, build an optimization model to determine LOGO’s optimal production plan for its ten products in the two plants.

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