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This qustion is from supply chain management

You are employed by Sony and the head of the asset management department. Sony plans on building a maximum of 16 new manufacturing plants across Europe and you have to solve a problem which concerns multiple variables.

They will build the plants in one of four sizes for each location - a assembly plant (runs 24 hours by robots), standard manufacturing plant, high-tech plant and a special-products plant. The assembly plant requires $18.12 million to build and only 3 employees to operate. The standard manufacturing plant requires $11.25 million to build and 65 employees to operate.

The high-tech plant requires $12.75 million to build and 32 employees to operate. And the special-products plant requires 12 employees and cost $8.7 million to build.

The corporation can dedicate $121.5 million in construction capital, and 550 employees to staff the stores. On the average, the assembly plant nets $3.9 million annually, the standard manufacturing plant nets $4.2 million annually, the high-tech plant nets $3.1 million annually and the special-products plant nets $2.6 million annually.

Now it comes to your problem solving skills to answer the following question:

How many of each manufacturing plant are they able to build with the maximum revenue and available money?

And what is the maximum revenue in million dollars?

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92771984

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