Operations Management
Operations Management
14th Edition
ISBN: 9781260238891
Author: Stevenson
Publisher: MCG
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Chapter 8, Problem 3TS
Summary Introduction

To determine: The several ways technology has had an impact of location decisions.

Introduction:

A facility location implies a place construct a facility. The facility location decisions are vital, long term, and non-redundant. Without comprehensive area arranging in the first place, the new facility may posture consistent working interruptions for the future processes.

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PP.63 Jupiter, a large candy company, is having great success with its "Swan" family of candy bars.  Due to a number of factors they like to plan their production at least six months into the future.  The table below contains their demand projections (in tons) for April through September: Supply/Demand Info   Beginning        Apr           May           Jun           Jul           Aug           Sep      Predicted Sales   45,500 45,100 51,900 52,800 47,900 47,200 Regular production               Overtime production               Subcontract production                      Ending inventory 14,400             Hired employees               Fired employees               Total employees 423             Cost variables are as follows: Cost Variables                           Labor cost/hour $13 Overtime cost/ton $30 Subcontracting cost/ton    $28 Holding cost/ton/month    $14 Hiring cost/employee $3,700 Firing cost/employee $5,800 Here is some additional…
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