EP PRIN.OF OPERATIONS MGMT.-MYOMLAB
EP PRIN.OF OPERATIONS MGMT.-MYOMLAB
10th Edition
ISBN: 9780134183848
Author: HEIZER
Publisher: PEARSON CO
Question
Book Icon
Chapter 8, Problem 2CS
Summary Introduction

Introduction:

The top management of SRVC in city L, announced its plan of relocation of its manufacturing and assembly unit to city M in October 2015. 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 cost, taxes and transportation expenses increases the production cost.

The firm considered several geographical areas for its relocation. The prime reason for relocation is to minimize the transportation cost, tax structures, labor cost 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 employement office and arrangement to sell or lease the property at city L was initiated. R industrial park offered 5 advantages SRVC in its relocation. Other factors like reduced labor cost, decreased utility cost, tax exemption also added weightage 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
help.2
I need help with part (c).    -hw2
••8.23 Todd's Direct, a major TV sales chain headquar- tered in New Orleans, is about to open its first outlet in Mobile, Alabama, and wants to select a site that will place the new out- let in the center of Mobile's population base. Todd examines the seven census tracts in Mobile, plots the coordinates of the center of each from a map, and looks up the population base in each to use as a weighting. The information gathered appears in the following table. POPULATION IN CENSUS TRACT X, Y MAP COORDINATES CENSUS TRACT 101 2,000 (25, 45) 102 5,000 (25, 25) 103 10,000 (55, 45) 104 7,000 (50, 20) 105 10,000 (80, 50) 106 20,000 (70, 20) 107 14,000 (90, 25) a) At what center-of-gravity coordinates should the new store be located? b) Census tracts 103 and 105 are each projected to grow by 20% in the next year. How will this influence the new store's coordinates? P
Knowledge Booster
Background pattern image
Similar questions
SEE MORE QUESTIONS
Recommended textbooks for you
Text book image
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Text book image
Operations Management
Operations Management
ISBN:9781259667473
Author:William J Stevenson
Publisher:McGraw-Hill Education
Text book image
Operations and Supply Chain Management (Mcgraw-hi...
Operations Management
ISBN:9781259666100
Author:F. Robert Jacobs, Richard B Chase
Publisher:McGraw-Hill Education
Text book image
Business in Action
Operations Management
ISBN:9780135198100
Author:BOVEE
Publisher:PEARSON CO
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
Production and Operations Analysis, Seventh Editi...
Operations Management
ISBN:9781478623069
Author:Steven Nahmias, Tava Lennon Olsen
Publisher:Waveland Press, Inc.