Performance management and control Essay Example | Topics and Well Written Essays - 500 words

Performance circumspection and control - Essay ExampleEvery day, 8 hours are spent producing the soaps, and the capturer can produce discolor soaps at the rate of 40 per hour, and the Blue soaps at the rate of 80 per hour. Each of the Yellow soaps attracts a profit of $5 and $3 for the Blue soap. We are going to use linear programing technique to find out the number of Yellow and Blue soaps that should be produced in order to maximize the profits.1. The selling price can be increased however, care should be taken so this scheme does not lead reduction in gross sales volume. If the selling price is increased without affecting the sales volume significantly, then the contribution sales ratio is increased directly.2. Reduction of variable costs per whole can lead to a better contribution sales ratio. This can be achieved by getting inputs at cheaper prices for example by buying in large qualities in order to enjoy measure