How would the total costs for each strategy change and what


The chasing demand strategy was also proposed to production department as to keep minimum inventory. Calculate the total cost of implementing this plan and justify if it could be preferred over the Level Strategy. (a) if the inventory holding cost was 50% of the production cost, how would the Total Costs for each strategy change and what would you recommend tothe production manager? b) If you were touse a mathmatical modeling approach for optimal production strategy, write the OBJECTIVE FUNCTION of the model?

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Operation Management: How would the total costs for each strategy change and what
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