Concept explainers
a)
To determine: How would the location stack up in terms of their composite factor rating scores.
Introduction: Location is where a firm chooses to site its operations. Location decisions can large effects on expenses and incomes. Location choices are normally quite imperative to both substantial and private companies. The area choice directly affects an operation's expenses and also its capacity to serve clients.
b)
To determine: The location stack up if the given weights double the weights of the factors.
Introduction: Location is where a firm chooses to site its operations. Location decisions can large effects on expenses and incomes. Location choices are normally quite imperative to both substantial and private companies. The area choice directly affects an operation's expenses and also its capacity to serve clients.
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OPERATIONS MANAGEMENT >C<
- In deciding on where to locate their next grocery store, Publix narrowed it down to 3 locations (St. Augustine, the Airport area, or the Westside). They are using 2 criteria to make their decisions costs (with a weight of 70%) and customer base (with a weight of 30%). Each item was scored on a 10-point scale with 10 being the highest. St. Augustine rated a score of 4 for cost and 10 for customer base; the Airport area rated a score of 6 for cost and 5 for customer base; and the Westside rated a score of 8 for cost and 2 for customer base.__________ 5a. What is the computed mean score for each of the 3 locations?__________ 5b. Which location should be chosen based on the highest score?arrow_forwardA location analysis has been narrowed down to three locations. The management needs to select the best location. The critical success factors, their weights, and the ratings for each location are shown below: Location Location Location Factor Wt. A B C Labor Cost 0.3 80 85 75 Transportation Cost 0.2 85 85 60 Market Access 0.2 90 70 90 Raw Materials Cost 0.1 80 90 90 Utility Cost 0.2 75 90 75 a) The composite score for location A is ( )b) The best location is ( )arrow_forwardsniparrow_forward
- A clothing chain is considering two different locations for a new retail outlet. The organization has identified the four factors listed in the following table as the basis for evaluation, and it has assigned weights as shown. The manager has rated each location on each factor, on a 100-point basis (higher scores are better), as shown under the respective columns for Georgetown and Biabou. Calculate the weighted score for each alternative location. Which location should be chosen?arrow_forwardThe Zhao family of Atlanta, Georgia, is planning its annual summer vacation. Three vacation locations along with criteria weights and location ratings follow. What is the recommended vacation location? Criteria Travel distance Vacation Entertainment available Outdoor activities Unique experience Family fun O Myrtle Beach, South Carolina OSmoky Mountains Branson, Missouri Weight 2 5 3 2 4 5 Myrtle Beach, South Carolina 5 5 7 9 5 8 Ratings Smoky Mountains 9 6 4 6 9 9 Branson, Missouri 3 8 4 5 9 8arrow_forwardAn electronics manufacturer must expand by building a second facility. The search is narrowed to four locations, all of which are acceptable to management in terms of dominant factors. Assessment of these sites in terms of seven location factors is shown in Table. For example, location A has a factor score of 5 (excellent) for labor climate; the weight for this factor (20) is the highest of any. Calculate the weighted score for each location. Which location should be recommended?arrow_forward
- Accel Express, Inc., collected the following information on where to locate a warehouse (1 = poor, 10 = excellent): Location Score Location Factor Factor Weight A B Construction costs 10 8 5 Utilities available 10 7 7 Business services 10 4 7 Real estate cost 20 7 4 Quality of life 20 4 8 Transportation 30 7 6 a. Which location, A or B, should be chosen on the basis of the total weighted score?b. If the factors were weighted equally, would the choice change?arrow_forwardEagle Electronics must expand by building a second facility. The search has been narrowed down to locating the new facility in one of four cities: Atla nta (A),Baltimore (B), Chicago (C), or Dallas (D). The factors, scores,and weights follow: a) Using the factor-rating method, what is the recommended site for Eagle Electronics's new facility?b) For what range of values for the weight (currently w7 = I 0) does the site given as the answer to part (a) remain a recommended site?arrow_forwardABC is a small chain of stores specializing in casual cotton clothing. The co. currently has 5 stores and wants to open a new one in one of 3 locations. Five factors are being considered for this decision. The weights and scores assigned by a hired consultant are as follows; Location factor College proximity Median income Vehicle traffic Mall quality & size Proximity to shopping Weight 0.30 0.25 0.25 0.10 0.10 Scores (0 to 100) Mall 1 Mall 2 Mall 3 90 65 79 80 50 40 60 75 80 60 90 90 100 80 30 Required Given that all the sites have basically the same leasing costs and labor and operating costs, advice ABC on where to locate the new store.arrow_forward
- The fixed and variable costs for three potential manufacturing plant sites for a rattan chair weaver are shown: Site Fixed Cost Per Year Variable Cost per Unit 1 $800 $10.00 $5.00 $4.00 $1,100 3 $2,100 a) Afteř rounding to the nearest whole number, site 1 is best below V units. After rounding to the nearest whole number, site 2 is best between V and V units. After rounding to the nearest whole number, site 3 is best above V units. b) If the demand is 1010 units, then the best location for the potential manufacturing plant isarrow_forwardThe composite (weighted average) rating for Akron, OH= The composite (weighted average) rating for Biloxi, MS = The composite (weighted average) rating for Cathrage, NY= The composite (weighted average) rating for Denver, CO= [round responses to two decimal places] ~hw2p1~arrow_forwardA manager received an analysis of several cities being considered for a new office complex. The data (10 points maximum) are as follows: Factor Business services Community services Real estate cost Construction costs Cost of living Taxes Transportation A с Thus, Location Score A A B с Thus, 17 17 17 8 6 4 3 2 8 9 B 6 6 Click here for the Excel Data File a. If the manager weights the factors equally, how would the locations stack up in terms of their composite factor rating scores? 8 7 7 19 19 19 5 7 is/are the best. C 6 7 7 6 8 b. If business services and construction costs are given weights that are double the weights of the other factors, how would the locations stack up? is/are best and 4 8 is/are least desirable.arrow_forward
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