Business, 30.10.2020 16:50 liammarinewoods
Reconsider the FlexMan data from Exercise 4. The firm is considering the option of changing workforce size with demand. The cost of hiring a new employee is $700 and the cost of a layoff is $1,000. It takes an employee two months to reach full production capacity. During those two months, a new employee provides only 50 percent productivity. Anticipating a similar demand pattern next year, FlexMan aims to end the year with 6,300 employees. a. What is the optimal production, hiring, and layoff schedule? What is the cost of such a schedule? b. If FlexMan could improve its training so new employees achieve full productivity right away, how much improvement in annual cost would the company see? How is the hiring and layoff policy during the year affected by this change?
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Reconsider the FlexMan data from Exercise 4. The firm is considering the option of changing workforc...
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