A supplier ships goods from Richmond, VA to three market places in 3 cities (Chicago, IL; Athens, GA; St. Luis, MO). The supplier can ship every day, every other day, or every third day. There is a penalty of $0.30/cwt for each day delayed. Consolidating shipments allows for lower transportation costs from larger loads, but incurs penalty costs due to the delay. Shipment City Transportation Rate (S/cwt) Weight/day LTL < TL > 50,000 lb 50000 lb Chicago, IL 18,000 lb (180 cwt) 1.50 1.25 Athens, GA 15,000 lb (150 cwt) 1.35 1.00 St. Luis, MO 12,000 lb (120 cwt) 2.00 1.50 Total 45,000 lb = 450 cwt Find what is the cost for the following: Shipping Every Day Shipping on the alternate Day (every two days) Shipping every three Day
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- Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?A supplier ships goods from Richmond, VA to three market places in 3 cities (Chicago, IL; Athens, GA; St. Luis, MO). The supplier can ship every day, every other day, or every third day. There is a penalty of $0.30/cwt for each day delayed. Consolidating shipments allows for lower transportation costs from larger loads, but incurs penalty costs due to the delay. Transportation Rate (S/cwt) Shipment City Weight/day LTL 50,000 lb 50000 lb Chicago, IL 18,000 lb (180 cwt) 1.50 1.25 Athens, GA 15,000 lb (150 cwt) 1.35 1.00 St. Luis, MO 12,000 lb (120 cwt) 2.00 1.50 Total 45,000 Ib = 450 cwt Find what is the cost for the following: Shipping Every Day Shipping on the alternate Day (every two days) Shipping every three Day
- A supplier ships goods from Richmond, VA to three market places in 3 cities (Chicago, IL; Athens, GA; St. Luis, MO). The supplier can ship every day, every other day, or every third day. There is a penalty of $0.30/cwt for each day delayed. Consolidating shipments allows for lower transportation costs from larger loads, but incurs penalty costs due to the delay. Transportation Rate (S/cwt) Shipment City Weight/day LTL 50,000 lb 50000 Ib Chicago, IL 18,000 lb (180 cwt) 1.50 1.25 Athens, GA 15,000 lb (150 cwt) 1.35 1.00 St. Luis, MO 12,000 lb (120 cwt) 2.00 1.50 Total 45,000 lb = 450 cwt !3! Find what is the cost for the following: Shipping Every Day Shipping on the alternate Day (every two days) Shipping every three DayUse the appropriate strategy to assign joint costs of an LTL route to each of the following shipments. Show your calculations and the assigned cost below. [1] A PUD truck driver works ten hours serving local customers for an LTL carrier. On the route, the driver makes 12 stops at area industries. The driver averaged 25 miles per hour while driving and drove 150 miles. During the trip, the driver handled 80 separate shipments, filling 70% of his truck by weight and 65% by the cube. The route cost a total of $2450. Using the time strategy for PUD cost assignment, determine the costs to be assigned to Shipper A and each shipment if the driver handled 4 shipments (3 delivered, 1 picked up) at the stop, and took 40 minutes to serve the Shipper. Total Assigned Cost for Shipper A Assigned Cost for Each Shipment [2] An LTL linehaul truck route takes 15 hours to complete. During the move, the truck moved an average of 36,500 pounds of freight, which filled 3200 cubic feet of the trailer. The…After applying the NWC Rule for the initial tableau of the given transportation model, evaluate the vacant cells. What is the cell which has the most negative evaluation value and what is the cell evaluation value? DESTINATION SOURCE DEMAND X Y N OX-R; 1 OY-S; -1 OX-S; -1 OY-S; -2 P 75 8 12 EI 11 Q 80 5 8 11 R 120 7 10 10 S 50 11 13 14 SUPPLY 100 125 100 325
- JuicyJuicy Company is a dairy manufacturing company in Serdang, Malaysia. This company isthe supplier of dairy products to a number of hypermarkets in the Serdang area. It is critical thateach order be delivered (shipped) and arrive at a specified time to ensure the quality of theirproducts and a good relationship with the buyers. However, for the past two weeks the productscannot reach the location on time. Resulted to that, they are getting many complaints from thecustomers and considering to switch to other suppliers. Thus, the company must overcome theproblem as quickly as possible. (a) Recommend a suitable quality tool that could identify the problem and to monitor thebusiness performance. Please explain and justify your suggestion. (b) Develop the selected tool (answer in part (a)) to show how it can clarify all possiblecauses and solution to the issue.suppose you have an order of 600,000 pieces polo shirt.per box contain 40 pcs polo shirt,carton length: 50 cm, width: 30 cm, height: 30 cm, sea freight cost per CBM $45, shipment will be done in FCL basis.Calculate total required CBM and which container will be justifiable for shipmentWhich of the following is a software used by Nestle to Fast Logistics? a. Honeywell b. SAP c. Aquila d. All of the above
- the documents describe the agreement that the company has with its carrier in the shipment of goods. which one? A) Bill of lading B) sales order C) packing slip D) picking ticketFAS (Free alongside Ship) and FOB (Free on Board) are rules for which kind of transport?es Problem 11-4 (LO2) An appliance manufacturer has a plant near Toronto that receives small electric motors from a manufacturer located in Winnipeg. The demand for motors is 118,000 units per year. The cost of each motor is $125. The motors are purchased in lots of 3.400 units. The ownership of motors transfers to the appliance manufacturer in Winnipeg. The question is which mode of transportation, truck or train, the appliance manufacturer should use to bring the motors from Winnipeg to Toronto. The railroad company charges $3 per motor. and it takes approximately seven days by train. The trucking company charges $5 per motor, but it takes only three days. The appliance manufacturer will keep 1,400 units as safety stock if a truck is used and 2.500 units as safety stock if a train is used for transportation. Assume 365 days per year. If the holding cost rate is 25 percent of unit cost per year, which mode of transportation will minimize total transportation and in-transit and safety…