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MacPherson Refrigeration Limited

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MacPherson Refrigeration Limited
Case Study

“MacPherson Refrigeration Limited”

Mohamed Yehia Emam (S1500733)
George Gabriel George (S1501034)

Table of Contents

Table of contents Page 2
1. Introduction Page 3
2. Problem Statement Page 3
3. Performance Measures and Trade-Offs Page 4
4. Assumptions Page 5
5. Iterative Plan Page 5
5.1. Integer Programming Model Page 5
5.2. Integer Programming Model Considering Overtime Page 6
5.3. Integer Programming Model Considering Hiring/Firing Page 7 6. Conclusion Page 9

1. Introduction
In this case study, production planning of MacPherson Refrigeration Limited (MRL) for the next year is conducted. In order to provide some background information about the company and the related production plant; there are some points to be mentioned. First of all MRL is relatively large company with a sales of about $28.5 million and for the last ten years they are in the business of producing consumer refrigeration. Secondly, the production plant which this production planning is related has an increased efficiency in the last years through process design and assembly technologies.
In this report, process and results of this case study is presented. In this first part, problem which is going to be studied is presented. Following that, decision criteria and performance measures are given in order to evaluate results. Then, assumptions are made considering the business environment and an iterative process of combining quantitative and qualitative measures is conducted. Finally, conclusion about the report is submitted as the past part of the report.
2. Problem Statement
In this case study, the problem to be solved can be stated as developing an aggregate plan for the following year with the given forecasts and plant capacities. In addition, qualitative and quantitative consequences of tools used for dealing with demand fluctuations should also be considered. The

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