Principles of Operations Management: Sustainability and Supply Chain Management (10th Edition)
10th Edition
ISBN: 9780134181981
Author: Jay Heizer, Barry Render, Chuck Munson
Publisher: PEARSON
expand_more
expand_more
format_list_bulleted
Concept explainers
Question
Chapter 8, Problem 2P
Summary Introduction
To Find: considering both labor and transportation costs, which is the most favorable location.
Introduction: Location is one of the important element for a business that controls the cost and expenses. Location strategies support in framing other strategies for a firm where optimal location point will provide competitive advantage to a firm.
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Refer to Problem 8.1. Shipping cost from Myanmar to Denver, Colorado, the final destination, is $1.50 per unit. Shipping cost from China to Denver is $1 per unit, while the shipping cost from Billings to Denver is $.25 per unit. Considering both labor and transportation costs, which is the most favorableproduction location?
Shipping cost from Myanmarto Denver, Colorado, the final destination, is $1.50 per unit.
Shipping cost from China to Denver is $1 per unit, while the ship-ping cost from Billings to Denver is $.25 per unit. Considering
both labor and transportation costs, which is the most favorableproduction location?
D1.
Chapter 8 Solutions
Principles of Operations Management: Sustainability and Supply Chain Management (10th Edition)
Ch. 8 - Prob. 1EDCh. 8 - Prob. 1DQCh. 8 - Prob. 2DQCh. 8 - Prob. 3DQCh. 8 - Prob. 4DQCh. 8 - Prob. 5DQCh. 8 - Prob. 6DQCh. 8 - Prob. 7DQCh. 8 - Prob. 8DQCh. 8 - Prob. 9DQ
Ch. 8 - Prob. 10DQCh. 8 - Prob. 11DQCh. 8 - Prob. 12DQCh. 8 - Prob. 13DQCh. 8 - Prob. 14DQCh. 8 - Prob. 15DQCh. 8 - Prob. 16DQCh. 8 - Prob. 17DQCh. 8 - Prob. 18DQCh. 8 - Prob. 1PCh. 8 - Prob. 2PCh. 8 - Prob. 3PCh. 8 - Prob. 4PCh. 8 - Prob. 5PCh. 8 - Prob. 6PCh. 8 - Prob. 7PCh. 8 - Prob. 8PCh. 8 - Prob. 9PCh. 8 - Prob. 10PCh. 8 - Prob. 11PCh. 8 - Prob. 12PCh. 8 - Prob. 13PCh. 8 - Prob. 14PCh. 8 - Prob. 15PCh. 8 - Prob. 16PCh. 8 - Prob. 17PCh. 8 - Prob. 18PCh. 8 - Prob. 19PCh. 8 - Prob. 20PCh. 8 - Prob. 21PCh. 8 - Prob. 22PCh. 8 - Prob. 23PCh. 8 - Prob. 24PCh. 8 - Prob. 25PCh. 8 - Prob. 1CSCh. 8 - Prob. 2CSCh. 8 - Prob. 3CSCh. 8 - Prob. 4CSCh. 8 - Prob. 1.1VCCh. 8 - Prob. 1.2VCCh. 8 - Prob. 1.3VCCh. 8 - Prob. 2.1VCCh. 8 - Prob. 2.2VCCh. 8 - Prob. 2.3VCCh. 8 - Prob. 2.4VC
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, operations-management and related others by exploring similar questions and additional content below.Similar questions
- Provide an example of an transportation service that would be considered a U.S. export.arrow_forwardPlease answer part d. Minimax regret.arrow_forward1. Find an initial solution to the following transportation problem. То Los Calgary Panama City Supply From Angeles $6 $17 $20 $18 $13 $10 $8 $19 $24 Мехico City 100 Detroit 60 Ottawa 40 Demand 50 80 70 a) Use the northwest – corner rule method. What is it's the total cost? b) Use the intuitive lowest cost approach. What is it's the total cost? c) Using the stepping - stone method, find the optimal solution. Compute the total cost.arrow_forward
- An electronics firm is considering how best to supply the world market for microprocessors used in consumer and industrial electronic products. A manufacturing plant costs about $500 million to construct and requires a highly skilled workforce. The total value of the world market for this product over the next 10 years is estimated to be between $10 billion and $15 billion. The tariffs prevailing in this industry are currently low. Should the firm adopt a concentrated or decentralized manufacturing strategy? What kind of location(s) should the firm favor for its plant(s)?arrow_forwardDM Office Products (DMOP) Is a wholesale supplier of office products with one facility in Pennsylvania. It has decided to bulld a new distribution warehouse in the state of New York to help serve the growing demand In that market. It has four major customers located In Buffalo, Syracuse, Albany, and New York City. Though New York City is the largest market, it also has the greatest competition, and DMOP Is not a major player there. When DMOP ships an order to a customer, It uses its own small fleet of two trucks to deliver, so the cost of delivery Is essentially the same for a full or partlally full truck. The expected number of annual shipments to each city and their coordinates on an x, y grid is shown in the following table. x-COORDINATES 340 y-COORDINATES 865 CITY NUMBER OF SHIPMENTS Buffalo 85 Syracuse Albany New York City 1,435 2,315 2,290 915 89 645 129 45 69 Use the centroid method to recommend a location for the new warehouse for DMC (Round your answers to 1 decimal place.) Cx…arrow_forwardSource Available at: https://propertywheel.co.za/2021/10/sa-remains-the-largest-most- sophisticated-warehousing-and-logistics-market-across-africa/ please read the above source and answer the following question a. Please critique supply chains and regional competitiveness in Africa and the regional location factor 3: Market dynamics of warehouses taking into consideration the extract above.arrow_forward
- DM Office Products (DMOP) is a wholesale supplier of office products with one facility in Pennsylvania. It has decided to build a new distribution warehouse in the state of New York to help serve the growing demand in that market. It has four major customers located in Buffalo, Syracuse, Albany, and New York City. Though New York City is the largest market, it also has the greatest competition, and DMOP is not a major player there. When DMOP ships an order to a customer, it uses its own small fleet of two trucks to deliver, so the cost of delivery is essentially the same for a full or partially full truck. The expected number of annual shipments to each city and their coordinates on an x, y grid is shown in the following table. CITY x-COORDINATES y-COORDINATES NUMBER OF SHIPMENTS Buffalo 340 865 85 Syracuse 1,435 915 89 Albany 2,315 645 129 New York City 2,290 45 69arrow_forwardE4arrow_forwardTOYOTA SA TO INVEST OVER R4BN IN CAR ASSEMBLY AND PARTS Toyota SA Motors (TSAM) has announced a R4.28bn investment in local vehicle assembly and partssupply. Speaking at the company’s annual State of the Motor Industry address at Kyalami on Thursday,president and CEO Andrew Kirby said the lion’s share of R2.43bn would go towards the production ofa new passenger-car model from October 2021 at the Prospecton plant in KwaZulu-Natal.The new car, which he did not name, will replace the Corolla model line that will end in 2020. TSAMalso announced it will build a Toyota Hybrid Synergy Drive vehicle, in a first for the continent. Kirbysaid the investment will inject R2.85bn a year into the South African economy and create about 1,500new jobs. He noted that the deal was made possible due to industrial policy certainty in the form ofthe Automotive Production and Development Programme, the government’s incentive plan for themotor industry. The next phase of the APDP runs from 2021 to 2035.TSAM…arrow_forward
- Could I get some help with this?arrow_forward6. A personal computer manufacturer plans to locate its as- sembly plant in Taiwan and to ship its computers back to the United States through either Los Angeles or San Francisco. It has distribution centers in Atlanta, New York, and Chicago and will ship to them from whichever city is chosen as the port of entry on the west coast. Overall transportation cost is the only criterion for choosing the port. Use the load- distance model and the information in Table 13.5 to select the more cost-effective city.arrow_forwardYour company has seen tremendous growth in sales within the U.S. and you now want to expand to the European market. Your logistics provider discussed the benefits of subcontracting your manufacturing to Asia. Question: What are some of the advantages and disadvantages of production outside the U.S.? Hint: The evolution Outsourcing, Nearsourcing and Friendshoringarrow_forward
arrow_back_ios
SEE MORE QUESTIONS
arrow_forward_ios
Recommended textbooks for you
Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,
Operations ManagementOperations ManagementISBN:9781259667473Author:William J StevensonPublisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...Operations ManagementISBN:9781259666100Author:F. Robert Jacobs, Richard B ChasePublisher:McGraw-Hill Education
Purchasing and Supply Chain ManagementOperations ManagementISBN:9781285869681Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. PattersonPublisher:Cengage Learning
Production and Operations Analysis, Seventh Editi...Operations ManagementISBN:9781478623069Author:Steven Nahmias, Tava Lennon OlsenPublisher:Waveland Press, Inc.
Practical Management Science
Operations Management
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:Cengage,
Operations Management
Operations Management
ISBN:9781259667473
Author:William J Stevenson
Publisher:McGraw-Hill Education
Operations and Supply Chain Management (Mcgraw-hi...
Operations Management
ISBN:9781259666100
Author:F. Robert Jacobs, Richard B Chase
Publisher:McGraw-Hill Education
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
Production and Operations Analysis, Seventh Editi...
Operations Management
ISBN:9781478623069
Author:Steven Nahmias, Tava Lennon Olsen
Publisher:Waveland Press, Inc.