f Overnight Shipping's ratings for each of the factors increase by 10%, the best outsource provider is Worldwide Delivery, with a weighted average score of (en r your response rounded to one
f Overnight Shipping's ratings for each of the factors increase by 10%, the best outsource provider is Worldwide Delivery, with a weighted average score of (en r your response rounded to one
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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Transcribed Image Text:a) With weights from 1 - 5 (5 being the highest) and ratings from 1-100 (100 being the highest), use the following table to help Garza make his decision.
In the following table, compute the weighted average score for each of the three companies (enter your responses rounded to one decimal place).
C
Criterion
Quality
Delivery
Cost
Weighted average score:
Weight Overnight Worldwide United
(W) Shipping Delivery Freight
5
90
80
75
85
80
81.5
The best outsource provider is Worldwide Delivery
b) Garza decides to increase the weights for quality, delivery, and cost to 10, 6, and 4, respectively.
If each weight is doubled, the best outsource provider is Worldwide Delivery
How does this change your conclusions?
OA. The conclusion changes but the weighted averages do not change at all.
OB. The conclusion changes since the weighted averages change.
OC. The conclusion does not change but the weighted averages change.
D. The conclusion does not change since the weighted averages do not change at all.
3
2
70
70
80.0
70
95
77.5
c) If Overnight Shipping's ratings for each of the factors increase by 10%, what are the new results?
If Overnight Shipping's ratings for each of the factors increase by 10%, the best outsource provider is Worldwide Delivery, with a weighted average score of
decimal place).
(en r your response rounded to one
Expert Solution
Step 1: Define Outsourcing
Outsourcing in business refers to a practice that includes businesses hiring other entities to provide certain services that are necessary for a crucial business operation or a function. for example, some businesses may seek customer support services from another entity, this will be called outsourcing customer support functions or services.
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