UNDERSTANDING BUSINESS W/ACCESS
13th Edition
ISBN: 9781266514548
Author: Nickels
Publisher: MCG
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Chapter 9, Problem 2PPT
Summary Introduction
To discuss: The location factors that might goes into the selection of manufacturing site for MD Company.
Introduction: The location plays an important role in manufacturing process. The manufacturing factory should be located at a place where
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1. What is the right business location? 2. What are the general criteria in selecting business location? Note: Please cite your reference
The university administration would like to add some additional parking locations. To make everyone happy, they would like each
building to be within a 5 minute walk of one set of new parking spaces (the spaces will be added in blocks of 10 parking spaces). The
university is considering six locations for the new parking spaces, but would like to minimize the overall cost of the project. In addition
to the walking time requirement, the university would like to add at least 40 new parking spaces (at least 4 blocks of 10). To help with
the decision, the management science department formulated the following linear programming model:
Min 350x1 + 425x2 + 425x3+ 465x4 + 485x5 + 365x6
s.t. x1 + x2 + x5 + X6 2 1 (Residence Hall A constraint)
x1 + x2 + X3 2 1 {Residence Hall B constraint)
X4 + X5 + X6 2 1(Science building constraint)
X1 + X4 + X5 2 1{Music building constraint}
x2 + x3 + X4 2 1{Math building constraint}
x3 + X4 + X5 2 1{Business building constraint}
x2 + x5 + X6 2 1{Auditorium…
Which Factors affecting location decisions?
Chapter 9 Solutions
UNDERSTANDING BUSINESS W/ACCESS
Ch. 9.1 - Prob. 9.1AQCh. 9.2 - Prob. 9.2AQCh. 9.2 - Prob. 9.2BQCh. 9.2 - Prob. 1TPCh. 9.2 - Prob. 2TPCh. 9.2 - Prob. 3TPCh. 9.3 - Bakers, like Duff Goldman of Charm City Cakes, add...Ch. 9.3 - Prob. 9.3BQCh. 9.3 - Prob. 9.3CQCh. 9.3 - Prob. 4TP
Ch. 9.3 - Define and differentiate the following: process...Ch. 9.3 - Prob. 6TPCh. 9.3 - Prob. 7TPCh. 9.4 - Prob. 9.4AQCh. 9.4 - Prob. 9.4BQCh. 9.4 - Prob. 9.4CQCh. 9.4 - Prob. 1MEDCh. 9.4 - Prob. 8TPCh. 9.4 - What is the difference between MRP and ERP?Ch. 9.4 - What is just-in-time inventory control?Ch. 9.4 - Prob. 11TPCh. 9.5 - Draw a PERT chart for making a breakfast of...Ch. 9.5 - Prob. 13TPCh. 9 - Prob. 1CECh. 9 - Prob. 2CECh. 9 - Prob. 3CECh. 9 - Prob. 4CECh. 9 - Prob. 1CTCh. 9 - Prob. 2CTCh. 9 - Prob. 3CTCh. 9 - Prob. 1DCSCh. 9 - 3. Discuss some of the advantages and...Ch. 9 - Prob. 5DCSCh. 9 - Prob. 1PPTCh. 9 - Prob. 2PPTCh. 9 - Prob. 1VCCh. 9 - Prob. 2VCCh. 9 - Prob. 3VC
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- Q) A discount store chain wants to build a new superstore in an area in Melbourne near four small towns with populations between 10,000 and 40,000. The coordinates (in miles) of these four towns and the market population in each are as follows: Coordinates Carlton St Kilda Ballarat Frankston 12 18 30 32 20 12 8 25 Population 18,000 17,000 10,300 10,000 a) Determine the best site using the center-of-gravity technique. b) Suppose the store is limited to two possible sites for locating a new superstore. The coordinates (in miles) of these two potential sites are site 1 (10, 30) and site 2 (20, 10). Using the load-distance technique, determine the best site for the new super store. c) Plot the four small towns and the proposed new distribution centers according to center of gravity method and load-distance method on a grid map. Give your own opinion about it.arrow_forwardWhat would be the important location factors that McDonald’s might consider before opening a new restaurant?arrow_forwardLocation Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 2 4 6 8 10 14 16 18 20 Q (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.arrow_forward
- William Green, vice president of manufacturing for computer products (CPC), and his staff are studying three midwestern alternative locations for a new production facility for producing high-resolution scanners. His staff analysts predict that the scanners will be a growing market over the next ten years, and the analyst's group shares marketing's enthusiasm for planning facilities for producing this new product line. The analysts have developed these estimates for the three locations; In what range of production volume would each of the locations be preferred (at the minimum cost)? Variable cost locations Annual Fixed costs per scanner Cleveland, Ohio $390,000 $34 South Bend, Indiana $360,000 $37 Grand Rapids, Michigan $310,000 $40arrow_forwardb. An operations manager has narrowed down the search for a new King Kola plant to three locations. Fixed and variable costs follow. Location Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 6 8 10 14 16 18 20 0 (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.arrow_forward1. Using the center-of-gravity method, compute the centralized coordinates among the following locations, which are indicated via black cells with white text in LOCATION.xlsx: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 2. Using the weighted average center-of-gravity, which accounts for quantities to be shipped from locations, compute the centralized coordinates among the following locations: 7,1 10,1 4,2 2,5 6,6 9,6 2,8 6,10 *Quantities to be shipped are listed within the existing locations (i.e. Location 7,1 ships 17 units) in LOCATION.xlsxarrow_forward
- i. Using the centre of gravity location technique, determine the location coordinates that will minimize the transportation costs for their family of productsarrow_forwardWhat are the three steps to locational cost–volume analysis?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_forward
- What is meant by the terms “flexibility,” “expansion,” and “access” in site selection for a processing plant?arrow_forward10.determine which location has the highest composite score.arrow_forwardAccel 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_forward
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