From the table we observe that, the Direct Labour Cost for manufacturing Custom shirts using Mikes

plan is less by an amount of 4.22 per shirt when compared to that of Ikes plan. It can also be inferred that the Labour costs for Regular shirts using Ikes plan costs 0.03 per shirt which is very minimal when compared to 4.22. Hence, by using Mikes plan a labour cost of 4.17 per shirt can be saved over Ikes plan. Moreover in Mikes plan the Capacity utilization is 94% whereas, for Ikes plan it is 81%. In Mikes plan Maximum utilization is achieved as both types of shirts are manufactured under the same process, whereas, in Ikes process the utilization is over used in Regular process and under used in Exclusive shirt process.i.e. In regular process the workers need to work in additional shifts and in Exclusive shirt process the workers are free for a large amount of time. In addition, the Initial cost of setting up the equipment in Ikes process would be more because it requires the Exclusive Shirt process to be arranged separately. This requires a lot of removing and fixing the Machines form their present positions, whereas, in Mikes process the Exclusive shirts can be manufactured in the current set up. Hence, we recommend Dwight Collier to go for Mikes plan as it seems to be more beneficial when compared to Ikes plan.