...8.10 Pan American Refineries, headquartered in Houston, must decide among three sites for the construction of a new oil- processing center. The firm has selected the six factors listed below as a basis for evaluation and has assigned rating weights from 1 to 5 on each factor: FACTOR 1 2 3 4 5 6 FACTOR NAME Proximity to port facilities FACTOR 1 2 3 4 5 6 Power-source availability and cost Workforce attitude and cost Distance from Houston Community desirability Equipment suppliers in area Subhajit Chakraborty, the CEO, has rated each location for each factor on a 1- to 100-point basis. LOCATION A 100 80 30 10 90 50 RATING WEIGHT 5 3 4 2 2 3 LOCATION B 80 70 60 80 60 60 LOCATION C 80 100 70 60 80 90 a) Which site will be recommended based on total weighted scores? b) If location B's score for Proximity to port facilities was reset at 90, how would the result change? c) What score would location B need on Proximity to port facili- ties to change its ranking? PX
...8.10 Pan American Refineries, headquartered in Houston, must decide among three sites for the construction of a new oil- processing center. The firm has selected the six factors listed below as a basis for evaluation and has assigned rating weights from 1 to 5 on each factor: FACTOR 1 2 3 4 5 6 FACTOR NAME Proximity to port facilities FACTOR 1 2 3 4 5 6 Power-source availability and cost Workforce attitude and cost Distance from Houston Community desirability Equipment suppliers in area Subhajit Chakraborty, the CEO, has rated each location for each factor on a 1- to 100-point basis. LOCATION A 100 80 30 10 90 50 RATING WEIGHT 5 3 4 2 2 3 LOCATION B 80 70 60 80 60 60 LOCATION C 80 100 70 60 80 90 a) Which site will be recommended based on total weighted scores? b) If location B's score for Proximity to port facilities was reset at 90, how would the result change? c) What score would location B need on Proximity to port facili- ties to change its ranking? PX
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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![### Site Selection for Pan American Refineries
Pan American Refineries, headquartered in Houston, is evaluating three potential sites for constructing a new oil processing center. The decision process involves assessing six key factors, each assigned a different rating weight from 1 to 5. These factors and their weights are:
| **Factor** | **Factor Name** | **Rating Weight** |
|------------|-----------------------------------|-------------------|
| 1 | Proximity to port facilities | 5 |
| 2 | Power-source availability and cost| 3 |
| 3 | Workforce attitude and cost | 4 |
| 4 | Distance from Houston | 2 |
| 5 | Community desirability | 2 |
| 6 | Equipment suppliers in area | 3 |
**Location Ratings**
Subhajit Chakraborty, the CEO, provided ratings for each location based on each factor (scores from 1 to 100):
| **Factor** | **Location A** | **Location B** | **Location C** |
|------------|----------------|----------------|----------------|
| 1 | 100 | 80 | 80 |
| 2 | 80 | 70 | 100 |
| 3 | 30 | 60 | 70 |
| 4 | 10 | 80 | 80 |
| 5 | 10 | 80 | 90 |
| 6 | 50 | 60 | 90 |
**Questions**
a) **Which site will be recommended based on total weighted scores?**
b) **If location B’s score for Proximity to port facilities was reset to 90, how would the result change?**
c) **What score would location B need on Proximity to port facilities to change its ranking?**
This evaluation involves calculating the total weighted scores based on the given ratings and weights to determine the best location for the new center.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F990e2519-8241-488a-b2ee-5f9ae2efd0c7%2F6b0625c0-c9ae-415b-bf03-6ef431722432%2Frvuhx68_processed.png&w=3840&q=75)
Transcribed Image Text:### Site Selection for Pan American Refineries
Pan American Refineries, headquartered in Houston, is evaluating three potential sites for constructing a new oil processing center. The decision process involves assessing six key factors, each assigned a different rating weight from 1 to 5. These factors and their weights are:
| **Factor** | **Factor Name** | **Rating Weight** |
|------------|-----------------------------------|-------------------|
| 1 | Proximity to port facilities | 5 |
| 2 | Power-source availability and cost| 3 |
| 3 | Workforce attitude and cost | 4 |
| 4 | Distance from Houston | 2 |
| 5 | Community desirability | 2 |
| 6 | Equipment suppliers in area | 3 |
**Location Ratings**
Subhajit Chakraborty, the CEO, provided ratings for each location based on each factor (scores from 1 to 100):
| **Factor** | **Location A** | **Location B** | **Location C** |
|------------|----------------|----------------|----------------|
| 1 | 100 | 80 | 80 |
| 2 | 80 | 70 | 100 |
| 3 | 30 | 60 | 70 |
| 4 | 10 | 80 | 80 |
| 5 | 10 | 80 | 90 |
| 6 | 50 | 60 | 90 |
**Questions**
a) **Which site will be recommended based on total weighted scores?**
b) **If location B’s score for Proximity to port facilities was reset to 90, how would the result change?**
c) **What score would location B need on Proximity to port facilities to change its ranking?**
This evaluation involves calculating the total weighted scores based on the given ratings and weights to determine the best location for the new center.
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