The company considers the combination of both the operation plant into single plant — Franklin Furniture Case Study — Problem related Short Term

The long term problem of the company will be strike a balance between their product lines.

The company management must keep in mind the existing capacity of both the plant and capacity that remains idle after the decision to merge the plants.

Criteria of Decision and various Alternatives

The material used for the production of chair, desk, table and computer workstations is pressed wood. The alternative solution is focuses on various objective like profit maximization and demand.

Suggestions

More inventory use for the production lines.

Extra inventory must be sold.

Focus on minimum wastage of inventory with the help of optimum level of inventory.