Use Excel to show formulas A company needs to locate three departments (I, II, and III) in the three areas (A, B, and C) of a new facility. They want to minimize interdepartmental transportation costs, which are expected to be $.30 per load per meter moved. An analyst has prepared the following distances and flow matrices: Distance (meters) Flows (loads per week) From/To A B C From/To I II III A - 10 30 I - 60 110 B - 50 II 90 - 80 C - III 80 90 - In what areas, I, II, and III, should departments A, B, and C be located that minimize the total cost of moving loads over the distance?
Use Excel to show formulas
A company needs to locate three departments (I, II, and III) in the three areas (A, B, and C) of a new facility. They want to minimize interdepartmental transportation costs, which are expected to be $.30 per load per meter moved. An analyst has prepared the following distances and flow matrices:
Distance (meters) Flows (loads per week)
From/To A B C From/To I II III
A - 10 30 I - 60 110
B - 50 II 90 - 80
C - III 80 90 -
In what areas, I, II, and III, should departments A, B, and C be located that minimize the total cost of moving loads over the distance?
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