Exam 11: Supply Chain Location Decisions

Table 11.4 Royal Flush Plumbing Supplies has the following demand forecasts for the five markets that it serves: -Use the information in Table 11.4.What is the center of gravity?

A ________ is a system of computer hardware,software,and data that the firm's personnel can use to manipulate,analyze and present information relevant to a location decision.

Simulation is a procedure used to determine the "best" solution that generally uses simplified and less realistic views of a problem.

Table 11.6 Union Fork,Inc.has five distribution centers located at the location coordinates given as follows.The demand at each center is also given. -Use the information in Table 11.6.What are the x and y coordinates for the center of gravity?

The Burdell Company has four distribution centers located at the location coordinates given as follows.The monthly demand at each center is also given. Management wants to build a new plant that would be located at the center of gravity of the four distribution centers.Which of the following options best represents the coordinates of the new plant location?

Repeated onsite expansion ultimately leads to diseconomies of scale.

Service location decisions are driven primarily by the operating costs at the locations under consideration.

King's Fries company desires to locate a new facility.Based on preliminary analysis,the choice has been reduced to four locations: A,B,C,and D.These four locations were rated on a scale from 1 (worst)to 10 (best)on each of four criteria.Each criterion was also weighted to indicate its importance (i.e. ,the higher the weight,the more important).The list of ratings and weights follows. Based on weighted scores,where should the King's Fries company locate its new facilities?

Qualitative factors are typically evaluated in terms of dollars in the preference matrix method.

Table 11.5 Paul's Pretzels manufactures and distributes gourmet pretzels for limited retail sales.Paul has determined the "demand points" and their relative locations as follows: -Use the information in Table 11.5.If Paul desires to locate a manufacturing facility at the center of gravity,what would be the x and y coordinates of the facility?

A(n)________ is a standard matrix that is used to solve location problems using the transportation method.

A preference matrix is used to incorporate ________ like community attitudes and quality of life into a location analysis.

You have the world's most powerful geographic information system at your disposal as you make your location decision.Using a manufacturer or service business of your choosing,explain what databases you would mine and how you would arrive at a decision.

One dominant factor in locating manufacturing facilities is a favorable labor climate.

A preference matrix permits consideration of more location factors than both the transportation method and the load-distance model.

Table 11.11 The Neale Company has four distribution centers (A,B,C,and D)that require monthly shipments of 30,000,24,000,36,000,and 24,000 gallons of diesel fuel per month,respectively.Three wholesalers (1,2,and 3)are willing to supply up to 36,000,48,000 and 30,000 gallons,respectively.Total costs (in $)for both shipping and price per gallon follow.A transportation method tableau is provided below. -Use the information in Table 11.11.Which of the following statements about this scenario is incorrect?

Table 11.11 The Neale Company has four distribution centers (A,B,C,and D)that require monthly shipments of 30,000,24,000,36,000,and 24,000 gallons of diesel fuel per month,respectively.Three wholesalers (1,2,and 3)are willing to supply up to 36,000,48,000 and 30,000 gallons,respectively.Total costs (in $)for both shipping and price per gallon follow.A transportation method tableau is provided below. -Use the information in Table 11.11.What can be said about a plan that ships 18,000 gallons from 1 to C;18,000 gallons from 1 to D;30,000 gallons from 2 to A;18,000 gallons from 2 to C;24,000 gallons from 3 to B;and 30,000 from 3 to D?

When comparing several sites,typically a company will pick specific available site locations,then broaden their choices to communities,and finally to alternate regions.

The Hunan Restaurant wishes to locate a new facility.Based on the following subjective criteria,where should the new facility be located? (Very good = 5,Good = 4,Fair = 3,Poor = 2,and Very poor = 1)

Table 11.1 Four departments are located in adjacent bays in the same loading dock.The distance between adjacent bays is 30 feet,the distance between bays separated by another (Alpha and Charlie,Bravo and Delta)is 60 feet,and the distance between Alpha and Delta is 90 feet.Material flows (loads)between departments are shown in the Table below. -Use the information from Table 11.1.Calculate the total load distance for this layout.