Exhibit 4-2A Construction Company Is Preparing for a Nine-Month Project

Essay

Exhibit 4-2A construction company is preparing for a nine-month project, and will need to develop a staffing plan. The company can assign up to 30 of its own full-time employees to the project, and will hire short-term contract employees to make up any shortage in meeting the personnel requirements. Company employees earn $6,000 per month, while short-term contract employees make $8,600/month. Contract employees can be assigned to the project beginning in any month, and their contract period is two months. The number of workers required for the project by month is shown below:
$\begin{array}{cccccccccc} &{\text { Month of Project }} \\& 1 & 2 & 3 & 4 & 5 & 6 & 7 & 8 & 9 \\\text { Required } & 15 & 23 & 59 & 65 & 71 & 77 & 64 & 43 & 21\end{array}$
-Refer to Exhibit 4-2. The project manager is evaluating options to complete the project early so that the company can earn a bonus. He has determined that the project schedule can be compressed into a six-month schedule, with the same total number of worker-months. In that case, the staffing requirements are as shown below.Develop an optimal staffing plan for the project under the accelerated schedule.
$$\begin{array} { c c c c c c c } & { \text { Month of Project } } \\& 1 & 2 & 3 & 4 & 5 & 6 \\\text { Required } & 26 & 38 & 84 & 105 & 101 & 84\end{array}$$