B. Problem Formulation2
II. Technical Report A. Objective4
III. Production Strategy
B. Graphical Solution6
C. Excel Solution7
IV. Conclusion & Managerial Report
A. Findings 8
B. References 9
In our Case Study, there are two products that we are observing: the first is the BodyPlus 100, and the second, the BodyPlus 200. BFI, Better Fitness, Inc. is a manufacturer of exercise equipment for the home exercise market. A recent spark in interest, due to BFI’s trade show promotion of BodyPlus 100 & BodyPlus 200, has given BFI a great opportunity to profit off of its two newest products. In order to find the most beneficial benchmarks, BFI needs to determine the correct amount of each product they need to produce. The two exercise machines require different inputs: the first of the two, the BodyPlus 100, requires a frame unit, a press station, and a pec-dec station, while the BodyPlus 200 requires a frame unit, a press station, a pec-dec station, and a leg press station. On top of an extra station (leg station), the BodyPlus 200 requires an extra eight hours to make versus the BodyPlus 100. The raw material cost for the BodyPlus 100 is also $525 less then the BodyPlus 200. Management must anticipate cost and decide on a production level to reach the optimal profit level. By doing so Better Fitness, Inc. will ensure the combination of the BodyPlus 200 and the BodyPlus 100 will elevate them to the top of the home exercise market.
Better Body, Inc. manufactures two products, the BodyPlus 100 and the BodyPlus 200. Better Body, Inc’s goal is to maximize its profits while dealing with the constraints...