Principles Of Operations Management
Principles Of Operations Management
11th Edition
ISBN: 9780135173930
Author: RENDER, Barry, HEIZER, Jay, Munson, Chuck
Publisher: Pearson,
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Chapter 8, Problem 17DQ
Summary Introduction

To contrast: The location of food distributor and a supermarket.

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.

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Contrast the location of a food distributor and a supermar-ket. (The distributor sends truckloads of food, meat, produce, etc., to the supermarket.) Show the relevant considerations(factors) they share; show those where they differ.
Suppose that you are an engineer tasked with finding a new location for your distribution center (let's say you work as an industrial engineer at a cosmetics company). You have a good idea of who your customers are and how many tons of cosmetics you must ship per week. Using your company headquarters as the origin, you plot out the following table: Customer                                     x-location (miles)    y-location (miles)    Quantity (tons/week) JC Penney                                              10                               280                                  3 BB&B                                                     70                              180                                  7 Target                                                    80                               160                                  4 Bath&Body Works                                170                              20                                   5 Walmart…
Determine the suitable location of a distribution centre with the below data, minimizing the transportation dollars spent on managing inbound and outbound shipments. Plot the location of the Vendors, Customers and the location of the new DC in a chart Vendor V1 V2 V3 V4 Customer C1 C2 C3 C4 Rate $ per Ton Mile $ $ $ $ 4.75 3.75 3.15 4.75 Rate $ per Ton Mile $ $ $ $ 3.50 3.75 4.25 5.00 Volume in Tons 1000 1000 1600 1400 Volume in Tons 760 640 800 500 Vendor Location Coordinates (miles) Horizontal 525 600 412.5 300 Vertical 300 750 750 630 Customer Location Coordinates(miles) Vertical 450 900 1050 975 Horizontal 900 900 825 1050
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