Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
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Question
Chapter 8, Problem 13P
a)
Summary Introduction
To determine: The site to be chosen
Introduction: Location is one of the important element for a business that controls the cost and expenses. Location strategies support in framing other strategies for a firm where optimal location point will provide competitive advantage to a firm.
b)
Summary Introduction
To determine: The site to be chosen.
c)
Summary Introduction
To determine: The site to be chosen
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Problem 8-11
A manager has received an analysis of several cities being considered for a new office complex. The data (10 points maximum) are as follows:
Location Score
Factor
A
B
C
Business services
8
6
6
Community services
7
6
7
Real estate cost
3
8
7
Construction costs
5
8
7
Cost of living
3
7
8
Taxes
5
5
4
Transportation
6
7
8
a.
If the manager weights the factors equally, how would the locations stack up in terms of their composite factor rating scores?
A
/ 7
B
/ 7
C
/ 7
Thus, (Click to select) A B C B and C A and B is the best.
b.
If business services and construction costs are given weights that are double the weights of the other factors, how would the locations stack up?
A
/ 9
B
/ 9
C
/ 9
Thus, (Click to select) A B C A and B B and C is best and (Click to select) A B C A and B B and C…
Daniel Tracy, owner of Martin Manufacturing, must expand by building a new factory. The search for a location for this factory has been narrowed to four sites: A, B, C, or D. Thefollowing table shows the results thus far obtained by Tracy by using the factor-rating method to analyze the problem. The scale used for each factor scoring is I through 5. a) Which site should Tracy choose?b) If site D 's score for Energy costs increases from a 3 to a 5, do results change?c) If site A's Weather score is adj usted to a 4, what is the impact? What should Tracy do at this point?
Sap Manufacturing, a manufacturing company that manufactures football jerseys and located in Port Antonio, Jamaica, is preparing to build a new plant. J’s is considering three potential locations that are suitable for the construction of the plant. The fixed and variable costs for the three alternative locations are presented in the table below.
Identify the range over which each alternative (A, B and C) is best.
Chapter 8 Solutions
Principles Of Operations Management
Ch. 8 - Prob. 1EDCh. 8 - Prob. 1DQCh. 8 - Prob. 2DQCh. 8 - Prob. 3DQCh. 8 - Prob. 4DQCh. 8 - Prob. 5DQCh. 8 - Prob. 6DQCh. 8 - Prob. 7DQCh. 8 - Prob. 8DQCh. 8 - Prob. 9DQ
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