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a) As production manager, you have identified a machine where capacity utilization is high and you need to control the machine more efficiently. The machine manufactures 4 different products, the demand for these products is given by the business system and the demand is high and varies very little. You have good opportunities to store the product, at a certain storage cost, in a finished goods warehouse. The machine must be reset each time you switch between the products and the set time as well as the processing time to manufacture a product in the machine are given according to reliable data from the business system. Describe how you would proceed, in a systematic way, to control the production in the machine. Motivate!
b) Inventory cost and special order cost are two cost items that are often used. Name three (3) different expressions / methods that use a balancing of these two cost items. The value of the product is also a parameter that occurs frequently. Is this parameter included in the expressions / methods above and if so how?NOTE! Variants of the same expression / method are not counted as two expressions / methods.