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At a chip manufacturing plant, four technicians (A, B, C, and D) produce three products (Products 1, 2, and 3). This month, the chip manufacturer can sell 80 units of Product 1, 50 units of Product 2, and at most 50 units of Product 3. Technician A can make only Products 1 and 3. Technician B can make only Products 1 and 2. Technician C can make only Product 3. Technician D can make only Product 2. For each unit produced, the products contribute the following profit: Product 1, $6; Product 2, $7; and Product 3, $10. The time (in hours) each technician needs to manufacture a product is as follows: Each technician can work up to 120 hours per month. How can the chip manufacturer maximize its monthly profit? Assume a fractional number of units can be produced. Set up and solve this model and find the maximum profit that can be made. Once you have a solution identify 2 insights that this model would give a manger. Put your answer in the space below.

Operation Management, Management Studies

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