PRIN.OF OPERATIONS MANAGEMENT-MYOMLAB
PRIN.OF OPERATIONS MANAGEMENT-MYOMLAB
11th Edition
ISBN: 9780135226742
Author: HEIZER
Publisher: PEARSON
Question
Book Icon
Chapter 8, Problem 2CS
Summary Introduction

Case summary:

The top management of Company SRVC in City L announced its plan of relocation of its manufacturing and assembly unit to City M in October 2018. As a major producer of pickup campers and camper trailers, the firm experienced declining profits for 5 consecutive years. The cost of raw materials, labor, utility costs, taxes, and transportation expenses increase the production cost.

The firm considered several geographical areas for its relocation. The prime reason for relocation is to minimize transportation costs, tax structures, labor costs, and other financial inducements. Out of many options, the firm considered City M as the most favorable location for relocation.

Before two weeks of announcement of relocation, the firm chose R industrial park and began recruiting through state employment office and arrangement to sell or lease the belongings at City L was initiated. R industrial park offered 5 advantages to Company SRVC in its relocation. Other factors like reduced labor cost, decreased utility cost, tax exemption also added weight for relocation.

To determine: The problems faced by a company in relocating in executives from a heavily populated industrialized area to a small rural town.

Blurred answer
Students have asked these similar questions
Operations Management
How does wellness reflect and impact the past and the future of our health as a workout routine? What are the obstacles during the workout routine, and how do you overcome the obstacles? What are the best solutions to plan and accomplish the wellness?
My last question! Thank you all for helping me better understand how OM works. If you can assist me for this one I'd be very thankful. Can you explain it step by step?I know now that LS is late start, and ES is early start. - •Activities on the critical path are? •The total project completion time for Rafay Ishfaq's software firm is how many weeks?•Determine the slack time for each of the activities for A-F •What is the total slack for the non critical paths in Rafays project?
Knowledge Booster
Background pattern image
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Purchasing and Supply Chain Management
Operations Management
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Cengage Learning
Text book image
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Text book image
MARKETING 2018
Marketing
ISBN:9780357033753
Author:Pride
Publisher:CENGAGE L