Chapter 8 – Teaching Note for Kloss Planters and Harvesters
The case is designed to help students understand the benefits of using the same assembly line for
counter cyclical products such as planters and harvesters. All results are from the spreadsheet Chapter8-
KH-case.
The first analysis involves the production plan for the current Planter plant. The planning model and
Table 1: Optimal Production Plan for Planters at KPH
The optimal production plan accommodates the high seasonality of demand for planters by hiring and
laying off workers, providing overtime and carrying some inventory. Almost $4 million ($1.2 for hiring +
$2.0 for layoff + $0.69 for overtime + $0.50 for inventory) is added to cost each year besides material
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Table 2: Optimal Production Plan for harvesters at KPH
The optimal production plan manages seasonality of demand by hiring and laying off workers, providing
overtime, carrying inventory and even a small stockout. About $4 million ($0.81 for hiring + $1.36 for
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Table 3: Optimal Production Plan for Combined Plant at KPH