Q1. Find the initial basic feasible solution of the following transportation problem by (a) Northwest-corner cell method (b) Least cost cell method Destination Source I 2 3 4 1 2 3 Supply 2 7 4 5 3 3 I 8 5 4 7 7 1 6 2 14 Demand 2 9 18 State which of method is better.

Q1. Find the initial basic feasible solution of the following transportation problem by (a) Northwest-corner cell method (b) Least cost cell method Destination Source I 2 3 4 1 2 3 Supply 2 7 4 5 3 3 I 8 5 4 7 7 1 6 2 14 Demand 2 9 18 State which of method is better.

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...

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Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?
Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?
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Q3) The Cure medical distribution center distributes urgent medical equipment for five local hospitals in Washington DC metropolitan area. Cure Medical distribution would like to invest in a new warehouse in Washington DC to minimize the total distance from five major hospitals. The coordinate of the five hospitals is given below: ( (2) 3 Great Fall (C) (47) 122 (121) Fairfax 10 We W Bu (645) -D (-20, 30)- -E (-40, -30) Colesville Fairland Calpen A (10,60) -B (10,-10) Ⓡ South Lourel stuxent search Refuge (MA A (14) tille (214) pha Bowit (00 X -C (45, -20) 201 C a) Use Solver to determine where the new warehouse should be in to minimize the total distance from 5 hospitals. What are the coordinates of the new warehouse? b) Solve your problem again to minimize the maximum distance between hospitals and the new warehouse. What are the coordinates of the new warehouse?
Q: When we solve the given transportation problem according to the lowest cost method, which warehouse and/or warehouses are suitable for shipment from f3 (F: Factory M: Customer)A) no needb) M1, M2, M3c) M1 and M2d) M3 and M1E) M3
3. Figure 1 Daily Subway and Bus Use in Five Major Cities 0.75 0.5 0.25 Subway OBus London Tokyo Singapore Hong Kong Figure 2 Subway vs. Bus Ridership, New York City OBus Subway 1970 1980 1990 2000 2010 Information in figure I suggests that public transportation users in London Information in Figure I supports the author's point that buses are growing in popularity as a means of urban transport by indicating that A) take subways and buses at similar rates. B) are unusually reliant on buses. C) take at least one subway trip daily. D) take subways at about the same rate as people A) many people around the world take at least one bus trip every day. B) bus ridership surpasses subway ridership in some major cities. C) people in Tokyo make far more trips by bus daily than they do trips by subway. D) the number of bus trips taken by people in major cities has substantially increased. in New York. 2 Which of the following statements about bus use in New York City is best supported by…
7. Novelis at Oswego NY supplies rolled aluminum sheets to Ford Motor's Kansas City plant to make F150 truck. The transportation manager of Novelis needs to choose from rail, waterway, and truck. The following information are gathered to make the transportation mode decision: Transportation Mode Transit Time, Days Rate $/cwt Shipment Size, cwt Rail 15 $2.50 12,000 Waterway 20 $0.80 200,000 4 $12.50 4,000 Truck The annual transportation volume is 2.5 million cwt. The value of aluminum is $500 per cwt. Inventory carrying cost for both companies is 20% per year. Please calculate the total logistics costs (transportation, inventory at Novelis, inventory at Ford, inventory in transit), and decide which transportation mode should be selected. (20 points)
Ancient history of logistics distribution regarding probability?
Use the appropriate strategy to assign joint costs of an LTL route to each of the following shipments. Show your calculations and the assigned cost below. [1] A PUD truck driver works ten hours serving local customers for an LTL carrier. On the route, the driver makes 12 stops at area industries. The driver averaged 25 miles per hour while driving and drove 150 miles. During the trip, the driver handled 80 separate shipments, filling 70% of his truck by weight and 65% by the cube. The route cost a total of $2450. Using the time strategy for PUD cost assignment, determine the costs to be assigned to Shipper A and each shipment if the driver handled 4 shipments (3 delivered, 1 picked up) at the stop, and took 40 minutes to serve the Shipper. Total Assigned Cost for Shipper A Assigned Cost for Each Shipment [2] An LTL linehaul truck route takes 15 hours to complete. During the move, the truck moved an average of 36,500 pounds of freight, which filled 3200 cubic feet of the trailer. The…
What is the initial total cost of the given transportation model if an Intuitive Approach method is applied? DESTINATION SOURCE DEMAND O 3050 O 3140 O 3045 O 3040 X Y N 4 P 75 8 12 S 11 Q 80 5 8 11 R 120 7 10 10 S 50 11 13 14 SUPPLY 100 125 100 325
1. Determine the optimal shipment size q^∗ and the optimal cost per day for sourcing component 1from the Atlanta supplier. Be sure to include transportation costs per day, pipeline inventorycosts per day, purchasing costs per day, and facility inventory costs per day. 2. Determine the optimal shipment size q∗ and the optimal cost per day for sourcing component1 from the Seattle supplier. Again, be sure to include transportation costs per day, pipelineinventory costs per day, purchasing costs per day, and facility inventory costs per day. Doesit make sense to source component 1 from Seattle?
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