Subject Business Business - Other

Question

MANAGERIAL REPORT
Problem Statement
This section will summarize the business problem.
Write the statement of the business problem in your own words.
Quantitative Results
The “quantitative results” from the quantitative analysis are presented here including the answers to any questions in the case problem.
You must describe the results in sentences.
A table of data to summarize the select set of numbers is informative, but it is not sufficient.
A well-written summary will allow the user to easily digest the information.
This is the place to point out interesting insights, facts, and relationships.
Conclusion
This section summarizes the previous sections. No new material is presented in the conclusion section.

Solution Preview

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Problem Statement

Mech Inc. prides itself on delivering serpentine belts for the automotive industry. As any profitable company would do, it decided to magnify its production by constructing a new manufacturing plant but is currently having uncertainties deciding whether to build a big or a small plant. The CEO is also open for purchasing the research study on the customers’ demand on the company’s products but is having reservations.

We – the management team – are going to seek for a solution on this impasse with the collaborative assistance of the other teams to meet the end goal of the company.

Quantitative Results

As requested by the CEO, below are the developed optional decision strategies using Optimistic, Conservative, and Minimax Regret strategies (in millions)....

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