HW 7

[Chase Morgan]

Hey everyone,

I've taken a quick stab at HW 7 and came up with a maximized profit
contribution of $504,687 using the transfer row method.

Anyone else get this?

[Sudha Venkatesh]

I have problem figuring out the 'supply constaints' for the problem. could some one clarify?

Also does the prblem mention  objective coefficient for production activities ?

 

Thanks

Sudha.

[Darren Ng]

I also got $504,687. using the transfer row method.

Sudha: What do you mean by "supply constraints"? Are you referring to the mfg and testing constraints? There are no objective coefficients for the production activities mentioned.

[Almitra Sharma]

Hi All,
What values did you input for the RHS of Sunnyvale and Macon Plant
capacity for the transfer row method?
Thanks,
Almitra

[Darren Ng]

I used 24hrs x 365 days = # hrs in a year

[Sudha Venkatesh]

I meant to ask the 'sunnyvale ' & 'Macon' plant capacity i.e RHS value. is there a limitation on how much the plant could supply ?because the problem explained in the class had both supply and demand constraints so trying to apply similar knowledge in the homework problem.

 

 

 

 

 

 

 

On Tue, Nov 8, 2011 at 4:53 PM, Sudha Venkatesh <sudha.v...@gmail.com> wrote:

[Almitra Sharma]

Thanks..I was thinking the same but I was not sure how this would
work..I have 2 separate excel sheets-one for the disk controller and
one for the graphics card.So if I am solving the disk controller excel
problem, I assume that all the time (24X365) would be used for
manufacturing and testing for disk controllers and when I solve the
graphics card problem the total hours in a year will be used for
manufacturing and testing graphics card.How do we capture the
dependency between the 2 activities for either the Sunnyvale or Macon
location since manufacturing more of disk controllers might reduce the
time available for graphics card production?
Or since it is linear programming we ignore this overlap?
Thanks,
Almitra

[Rachna Patel]

did anyone try to do it the non transfer row way? I set it up that way in excel, but can't fully understand how to set up all the production constraints. Please see attached. I'm not even sure if it will work in this format.

[Chase Morgan]

Just as Darren said, each plant can supply a total of 8,760 hours a year (24*365). That is your RHS constraint for both the Macon and Sunnyvale plant for both mfg. and testing operations. These are the only limitations placed on the production facilities.

[Subramaniam Narayanan]

I also have the profit as $504,687!

[Sridhar]

Folks - How do I interpret the costs associated with production in
this problem ? I have the market price and the shipping cost details,
however the production details are in terms of hrs required for MFG
and Testing. How do I derive production cost from the production time/
plant/product ? I looking to at profit as market price minus shipping
cost minus production cost.

-Sridhar

On Nov 9, 10:19 pm, Subramaniam Narayanan <ssnarayan...@gmail.com>
wrote:

> I also have the profit as $504,687!
>
>
>
>
>
>
>
> On Wed, Nov 9, 2011 at 1:18 PM, Chase Morgan <cha...@me.com> wrote:
> > Just as Darren said, each plant can supply a total of 8,760 hours a year
> > (24*365). That is your RHS constraint for both the Macon and Sunnyvale
> > plant for both mfg. and testing operations. These are the only limitations
> > placed on the production facilities.
>
> > On Nov 8, 2011, at 10:34 PM, Sudha Venkatesh wrote:
>
> > I meant to ask the 'sunnyvale ' & 'Macon' plant capacity i.e RHS value. is
> > there a limitation on how much the plant could supply ?because the problem
> > explained in the class had both supply and demand constraints so trying to
> > apply similar knowledge in the homework problem.
>

> > On Tue, Nov 8, 2011 at 4:53 PM, Sudha Venkatesh <sudha.venkat...@gmail.com

[Subramaniam Narayanan]

production costs are essentially labor constraints in terms of hrs available. there is no $ number for labor. so we will have something like:

0.7X11 + 0.4X21 <= 24*365 and so on... the revenue and shipping costs are used only in the objective function calculations...

[Sudha Venkatesh]

The constraints for the production are the manufacturing time and testing for each plant with RHS value as (24*365)(4 production constraints).

The objective coefficient for the production activities are 'Zero'

 

Sudha.

On Thu, Nov 10, 2011 at 8:14 AM, Sridhar <sri...@gmail.com> wrote:

[Rachna Patel]

does anyone have the complete transfer row version that they can share?

[Chase Morgan]

Here's mine. Hope this helps.

[Manuel Severino]

Don't you need transfer rows from MFG to Testing such that you can't test more than what you MFG?

Maybe I'm missing something.


Manny

On Thu, Nov 10, 2011 at 2:27 PM, Chase Morgan <cha...@me.com> wrote:

Here's mine. Hope this helps.

-Chase

[Manuel Severino]

Can someone tell me what I'm doing wrong? I've checked the boxes for linear and non-negative.

I've done the transfer row method.

 
Manny

[Manuel Severino]

forgot to attach the file...
Manny

[Elliott Le]

Hi Manny,

You should take another look at how you're setting up the demand constraints.

Elliott Le

--
Elliott Le

[Carey Deangelis]

I have a question.  I am getting the same max. profit contribution as the group, but I am getting a different allocation of the products to the different shipping points.  I went and double checked all of my equations against the sheet that Chase posted and everything looks to be in line. 

Has anyone else come up with a different allocations (numbers for units of product 1 and 2). Rows 11 and 12 on my excel sheets?

If not, can anyone see where I am going wrong?  Am I choose the wrong options in solver?

I am stuck...

Carey

On Thu, Nov 10, 2011 at 2:27 PM, Chase Morgan <cha...@me.com> wrote:

Here's mine. Hope this helps.

-Chase

On Nov 10, 2011, at 9:42 AM, Rachna Patel wrote:

[gtak...@yahoo.com]

I don't see a problem with this, Carey. If we were also to switch the
demand constraints in Manny's file to "quantity sold >= demand quota"
rather than "<=," his results would be exactly the same.

On Nov 13, 4:06 pm, Carey Deangelis <carey.deange...@gmail.com> wrote:
> I have a question.  I am getting the same max. profit contribution as the
> group, but I am getting a different allocation of the products to the
> different shipping points.  I went and double checked all of my equations
> against the sheet that Chase posted and everything looks to be in line.
>
> Has anyone else come up with a different allocations (numbers for units of
> product 1 and 2). Rows 11 and 12 on my excel sheets?
>
> If not, can anyone see where I am going wrong?  Am I choose the wrong
> options in solver?
>
> I am stuck...
>
> Carey
>
>
>
>
>
>
>
> On Thu, Nov 10, 2011 at 2:27 PM, Chase Morgan <cha...@me.com> wrote:
> > Here's mine. Hope this helps.
>
> > -Chase
>
> > On Nov 10, 2011, at 9:42 AM, Rachna Patel wrote:
>
> > does anyone have the complete transfer row version that they can share?
>
> > On Thu, Nov 10, 2011 at 8:38 AM, Sudha Venkatesh <
> > sudha.venkat...@gmail.com> wrote:
>
> >> The constraints for the production are the manufacturing time and testing
> >> for each plant with RHS value as (24*365)(4 production constraints).
> >> The objective coefficient for the production activities are 'Zero'
>
> >> Sudha.
>

>  Homework 7.xlsx
> 30KViewDownload

[gtak...@yahoo.com]

In the context of this problem, labor costs are treated as fixed
costs. In practice, this makes some sense because many labor unions
contract for a fixed number of paid hours, even if production slows
down. If the factory workers aren't working in production, they still
get paid, so their managers make them do something else like clean the
factory.

Use cost behavior from ACTG 302: You maximize profit by maximizing
contribution margin. CM = Total Revenues - Total Variable Costs. The
problem does not include components as a variable cost for simplicity.