Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
12th Edition
ISBN: 9780134741062
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Chapter 14, Problem 2P

Eight Flags operates several amusement parks in the Midwest. The company stocks machine oil to service the machinery for the many rides at the parks. Eight Flags needs 30,000 gallons of oil annually; the parks operate 50 weeks a year. Management is unsatisfied with the current supplier of oil and has obtained two bids from other suppliers. The data are contained in Table 14.4.

Which supplier and which shipping quantity will provide the lowest costs for Eight Flags?

Chapter 14, Problem 2P, Eight Flags operates several amusement parks in the Midwest. The company stocks machine oil to

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Eight Flags operates several amusement parks in the Midwest. The company stocks machine oil to service the machinery for the many rides at the parks. Eight Flags needs 30,000 gallons of oil annually; the parks operate 50 weeks a year. Management is unsatisfied with the current supplier of oil and has obtained two bids from other suppliers. The data are contained in Table. Which supplier and which shipping quantity will provide the lowest costs for Eight Flags?
The trade-off between transportation and inventory costs is significant when designing a supply chain network. Two fundamental supply chain decisions involving this trade-off are Choice of Transportation Mode and Inventory aggregation: Design a complete supply chain network for an FMCG company based in Pakistan. However, suppliers are both local and international but the distribution is confined in Pakistan only. This is a push-based industry and the business model is horizontal. You are required to do the following activities and don’t write anything in detail. Use bullet points to answer. The value chain diagram Identify the types of inventory at each stage of the value chain Modes and Legal forms of transportation at each stage Warehouses at each stage, their type, and strategies for warehouse location
The trade-off between transportation and inventory costs is significant when designing a supply chain network. Two fundamental supply chain decisions involving this trade-off are Choice of Transportation Mode and Inventory aggregation. Design a complete supply chain network for a FMCG company based in Pakistan. However, suppliers are both local and international but the distribution is confined in Pakistan only. This is a push-based industry and business model is horizontal. You are required to do the following activities and don’t write anything in detail. Use bullet points to answer. Warehouses at each stage, its type and strategies for warehouse location You are supposed to present a summary of your supply chain design in a matrix form.

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