Subject category:
Case Method and Specialist Management Disciplines
Published by:
Darden Business Publishing
Version: 10 August 2010
Revision date: 25-Jul-2023
Length: 5 pages
Data source: Published sources
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Abstract
This case is a good introductory linear-programming case; it introduces the notion of constraint exploitation and provides practice in deciding between alternative forecasting techniques (including exponential smoothing). The case contains a decision-uncertainty structure. A production planner must determine whether or not to take a contract for future delivery of a specified product at a stated price. The decision will affect the production mix in future periods. Uncertainty surrounding the future market price of the product is crucial. In the B case a second constraining resource is introduced to the decision environment.
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Abstract
This case is a good introductory linear-programming case; it introduces the notion of constraint exploitation and provides practice in deciding between alternative forecasting techniques (including exponential smoothing). The case contains a decision-uncertainty structure. A production planner must determine whether or not to take a contract for future delivery of a specified product at a stated price. The decision will affect the production mix in future periods. Uncertainty surrounding the future market price of the product is crucial. In the B case a second constraining resource is introduced to the decision environment.
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