The production plan is
established by keeping the sales pattern in mind. The sales pattern over the
year’s shows that in the month of April the sales of the two most sold tiles of
the corporation remain low therefore it is decided to produce the tiles on normal
capacity. The option 3 is appropriate at this time of the year because it can
efficiently meet the demand. In the month of May and June the demand of the
product increases which means that the company would have to increase its
production. At this time option 8 will be more appropriate because through this
the need of both 18 inch & 36 inch tiles can be fulfilled. At the month of
July the sales are on its peak therefore the company would have to select
option 7. In the month of September sales again started to decline which means
that the corporation would again produce goods according to option 3 (PANNEERSELVAM 2012).
Reference of Lamson
Corporation (R)
PANNEERSELVAM, R. 2012. PRODUCTION AND OPERATIONS
MANAGEMENT. PHI Learning Pvt. Ltd.