DM Office Products (DMOP) is a wholesale supplier of office products with one facility in Pennsylvania. They have decided to build a new distribution warehouse in the state of New York to help serve the growing demand in that market. They have 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 they use their 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 Buffalo Syracuse X-COORDINATES 325 1420 y-COORDINATES 850 NUMBER OF SHIPMENTS 78 900 82

DM Office Products (DMOP) is a wholesale supplier of office products with one facility in Pennsylvania. They have decided to build a new distribution warehouse in the state of New York to help serve the growing demand in that market. They have 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 they use their 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 Buffalo Syracuse X-COORDINATES 325 1420 y-COORDINATES 850 NUMBER OF SHIPMENTS 78 900 82

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter6: Optimization Models With Integer Variables

Section: Chapter Questions

Problem 2C

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A supply chain manager faced with choosing among four possible locations has assessed each location according to the following criteria, where the weights reflect the importance of the criteria. Location Criteria Weight 1 2 3 4 Raw material availability 0.06 P VG OK VG Infrastructute 0.07 P G VG OK Transportation costs 0.33 G P OK P Labor relations 0.25 VG G P OK Quality of life 0.29 G OK P VG VG = Very good 5 pts; G = Good 4 pts; OK = Acceptable 3 pts ; P = Poor 1 pt. Using this information, determine the best and the worst location. Round your answers to two decimal places. Location Total Points 1 2 3 4 ______ is the best location and _______ is the worst location.
Williams Auto Top Carriers currently maintains plants in Atlanta and Tulsa to supply auto top carriers to distribution centers in Los Angeles and New York. Because of expanding demand, Williams has decided to open a third plant and has narrowed the choice to one ot two cities – New Orleans and Houston. Table below provides pertinent production and distribution costs as well as plant capacities and distribution demands. Which of the new locations, in combination with the existing plants and distribution centers, yields a lower cost for the firm? From Plants To Distribution centers Normal production Unit production cost Los Angeles New York Existing plants Atlanta Tulsa $8 $4 $5 $7 600 900 $6 $5 Proposed locations New Orleans Houston $5 $4 $6 $6a 500 500 $4 (anticipated) $3 (anticipated) Forecast demand 800 1,200 2,000 a – Indicates distribution cost (shipping, handling, storage) will be $6 per…
a company's business model was to operate through its facilities- Vancouver, Calgary, Winnipeg, Toronto(ontario), ottawa, Montreal and Halifax. Supply comes from South America, southeast Asia, and Florida. the company was shipping first to Toronto and then to each facility at a total cost of $23095.5 per week. The company is considering the possibility of opening a logistics facility in Miami. Toronto and Vancouver were already available as transshipment centres. What would be the cost savings if Miami centre was opened and what would be the optimal shipment plan?
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1 Discuss how the use of Strategic Partnering helps to alleviate the bullwhip effect.2 What is the bullwhip effect and what impacts can it have in the supply chain?3 Discuss and elaborate on the following statement: “The selection of a superior location network can create substantial competitive advantage.â€œ4 What are the penalties of facing highly variable demand? Are there any advantages?5 Show the elements involved in the process of deciding when to order and how much to order by using a â€˜sawtooth modelâ€™ of inventory.6 Distinguish between using an exact optimization technique and a heuristic to solve a problem?7 Explain why risk pooling across locations is attractive to extended supply chains.8 Discuss five (5) ways that the lead times within a supply chain can be reduced.9 â€œCycleWorld distributes the majority of their orders for pushbikes across 60 vendors so it was very important for them to manage this at a…
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 69
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Compu Limited is a company that manufactures computer monitors, keyboards, computer boxes and modems (both internal and external). These four products are sold all over the country and in a few overseas markets. The head office is situated in Sandton, South Africa, with three plants in other parts of the country. Four years ago, a fourth plant was opened in Zimbabwe to take advantage of the inexpensive labour available. 90% of the items manufactured in Zimbabwe are shipped back to South Africa and the remaining 10% are sold in other African countries. Compu Limited advertises its products in computer magazines, on the internet and over the television. It shares are traded on the Johannesburg Stock Exchange (JSE). Three major organisations account for almost 50% of Compu’s sales and the remaining sales are made to other smaller computer manufacturers. Lately one of these customers is constantly complaining about the lack of new technology in Compu’s products. A total of 900 plant…