Given the following information set up the problem in a transportation table and solve for the minimum-cost plan: Demand Capacity Regular Overtime Subcontract Beginning inventory Costs Regular time Overtime Subcontract Inventory carrying cost Back-order cost PERIOD 1 2 3 550 700 750 500 500 500 50 50 120 120 50 100 100 $60 per unit $80 per unit $90 per unit $1 per unit per month $3 per unit per month Answer is complete but not entirely correct. $ Minimum total cost 126,650

Given the following information set up the problem in a transportation table and solve for the minimum-cost plan: Demand Capacity Regular Overtime Subcontract Beginning inventory Costs Regular time Overtime Subcontract Inventory carrying cost Back-order cost PERIOD 1 2 3 550 700 750 500 500 500 50 50 120 120 50 100 100 $60 per unit $80 per unit $90 per unit $1 per unit per month $3 per unit per month Answer is complete but not entirely correct. $ Minimum total cost 126,650

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...

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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?
The Bright Company wants to figure out the best way to ship their new product, Flying Widgets, from their factories through their warehouses to their retail outlets. They would like to set up a Transhipment table so they can use POM to find the least cost shipping routes. They have hired you to set up the Transhipment table based on the information below. You will be paid handsomely if you can come up with the correct table. Shipping Costs Shipping Costs 01 02 03 04 Wi W2 W3 W1 4. 2 F1 4 W2 4 F2 4 2 W3 4. 3. 4. Also, Flying Widgets can be shipped from Factory 1 to Factory 2 for $3 per unit. Factory 1 can produce 300 units and factory 2 can produce 100 units. Outlet 1 demand is 50 units, Outlet 2 is 150 units, Outlet 3 is 100 units, and Outlet 4 is 100 units.
company is amazon Describe the warehouse: company, type, size, products, level of automation ... etc. What features of this warehouse help serve its purpose? Describe the flow of operations inside the warehouse. How is packaging handled in the warehouse? How are/ can unit loads be applied to improve efficiency in handling products at this warehouse? How does/ can automation help in the warehouse? What mode of transportation is used to transport goods to/ from the warehouse? Justify this choice, or another one you see more appropriate. What are/ would be the implications of international operations on transportation for this company? Include cost considerations in your analysis
company is amazon Describe the warehouse: company, type, size, products, level of automation ... etc. What features of this warehouse help serve its purpose? Describe the flow of operations inside the warehouse. How is packaging handled in the warehouse? How are/ can unit loads be applied to improve efficiency in handling products at this warehouse? How does/ can automation help in the warehouse? What mode of transportation is used to transport goods to/ from the warehouse? Justify this choice, or another one you see more appropriate. What are/ would be the implications of international operations on transportation for this company? Include cost considerations in your analysis What are the implications of reverse logistics on this warehouse's operations and on transportation? Construct a flow diagram to illustrate your answer. Comment on the interrelationship within this logistics system: material handling, transportation and other functions. What are some improvements you recommend…
If a company uses EOQ and SEOQ, how do they work with these when it comes to transportation costs?
You have decided to start a door-to-dorm laundry service for the college students atthe local university. Students log on to your Web site and provide specific information tocreate an account including address information needed for pickup and delivery plus credit,charge, or debit card information for payment. At the time of the initial pickup, students aregiven a large plastic bag that they fill with their laundry. You pick up the laundry and wash,dry, fold, and return it within one week. Once the student has created an account, they cantext, email, or logon onto the Web site to request future pickups.Questions:1. Define the basic functions that this Web site must perform in order to meet thebasic needs of the laundry service as well as attract and maintain the interests ofstudents.2. What are some things you might do to entice students to return time and time againto your Web site?3. What actions can you take to increase traffic and draw students to your Web site? 4. Can you identify…
Dr. Vicki Belya is traveling from Yangoon to Los Angeles. She needs to change planes in Bangkok and board another airline’s flight in Tokyo. However, the ariline she is flying does not have interline agreements. Provide a basic explanation of what she can expect at every point of her journey.
FAS (Free alongside Ship) and FOB (Free on Board) are rules for which kind of transport?
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Large trucks are an important piece of the logistics chain. However, there were 333,000 large truck crashes in 2012, resulting in almost 3,800 fatalities, the majority being drivers or passengers of other vehicles, not the truck driver. One accident in 2014 caused a public uproar when a Walmart truck driver fell asleep at the wheel after being awake for 24 hours and crashed into another car, killing one person and critically injuring others, one being a well-known comedian. The U.S. Department of Transportation’s Federal Motor Carrier Safety Administration enacted tougher hours-of-service rules that went into effect in July 2013. One report claimed that the industry would lose $1 billion in lost productivity as a result of these rules, while another concluded the industry would realize almost $500 million in benefit from reduced driver mortality. The new rules have caused considerable controversy and have caused hardships for drivers. As one driver put it, “If the wheels aren’t…