Concept explainers
Interpretation: There were in aggregate 16 buildings in an industrial park. The cost of construction and maintenance for a new a first aid centre was shared amongst the corporations situated in the park. The distances between the buildings are calculated by a rectilinear distance measurements and this could be accorded to the layout of the park. Based upon the frequency of the accidents, the weights of the building are determined.
Weights for the building are determined based on the frequency of accidents. The most effective location of the first-aid center in order to minimize the weighted sum of the rectilinear distances to the 16 buildings has to be determined.
Concept Introduction: When the differences between the
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EBK PRODUCTION AND OPERATIONS ANALYSIS
- Locating Warehouses. Southeastern Foods has hired you to analyze their distribution-system design. The company has 11 distribution centers, with monthly volumes as listed below. Seven of these sites can support warehouses, in terms of the infrastructure available, and are designated by (W). The monthly fixed cost for operating one of these warehouses is estimated at $3,600, although there is no capacity limit in their design. Southeastern could build warehouses at any of the designated locations, but its criterion is to minimize the total of fixed operating costs and variable shipment costs. The table below shows the cost per carton of shipping from any potential warehouse location to any distribution center. Using the evolutionary solver, find the minimum monthly cost for Southeastern Foods.arrow_forwardFrank Green, an independent TV repairman, is considering purchasing a home in Ames, Iowa, that he will use as a base of operations for his repair business. Frank’s primary sources of business are 10 industrial accounts located throughout the Ames area. He has overlaid a grid on a map of the city and determined the following locations for these clients as well as the expected number of calls per month he receives: (given) Find the optimal location of his house, assuminga. A weighted rectilinear distance measure.b. A squared Euclidean distance measure.c. The goal is to minimize the maximum rectilinear distance to any client.arrow_forwardEve started a pizza business three years ago using the kitchen in her house. Customers call to order their pizza and Eve will deliver. Her business has grown so much that she hired four employees. Given the rate of growth, Eve decided to move her operations out of her kitchen and build a separate kitchen for her pizza business. She would like to choose a location that minimizes the total (or average) travel distance to deliver pizza to customers. From historical records, Eve has decided that her customers are unevenly distributed throughout her service area. To make her problem more manageable, she grouped the customers in the same general area into six regions. b. Using a numerical example, demonstrate how break-even analysis (graphical approach) canbe used to determine the best of three locations.arrow_forward
- Eve started a pizza business three years ago using the kitchen in her house. Customers call to order their pizza and Eve will deliver. Her business has grown so much that she hired four employees. Given the rate of growth, Eve decided to move her operations out of her kitchen and build a separate kitchen for her pizza business. She would like to choose a location that minimizes the total (or average) travel distance to deliver pizza to customers. From historical records, Eve has decided that her customers are unevenly distributed throughout her service area. To make her problem more manageable, she grouped the customers in the same general area into six regions. Using this information and other relevant information obtained from Eve, demonstrate how the centre of gravity location technique can be used to determine the best location that will minimize total travel distance b. Using a numerical example, demonstrate how break-even analysis (graphical approach) can be used to determine the…arrow_forwardEve started a pizza business three years ago using the kitchen in her house. Customers call to order their pizza and Eve will deliver. Her business has grown so much that she hired four employees. Given the rate of growth, Eve decided to move her operations out of her kitchen and build a separate kitchen for her pizza business. She would like to choose a location that minimizes the total (or average) travel distance to deliver pizza to customers. From historical records, Eve has decided that her customers are unevenly distributed throughout her service area. To make her problem more manageable, she grouped the customers in the same general area into six regions. Using this information and other relevant information obtained from Eve, demonstrate how the centre of gravity location technique can be used to determine the best location that will minimize total travel distance.arrow_forwardTask 1: An oil refining company ships the following gasoline volumes from its refining plant in Long beach to its major distributors: Coordinates (x, y) 400, 150 450, 350 350, 400 25, 450 Distributor Gallons (in millions) Anaheim 150 LaHabra 350 Glendale 250 Thousand Oaks 450 The location coordinates of the refining plant in Long Beach are: (325, 75). Under a new proposed distribution setting, the company wants to setup an intermediate holding facility, such that gasoline will first get transported to this holding facility, and then, from there, to the distributors. What will be the ideal location (coordinates) for the intermediate holding facility? (Round to 2 decimal places.)arrow_forward
- A&B Transport Co. is a company that manages a food supply chain. The problem involves the delivery of cargo (canned peas) from four canneries (loading ports) to three destination ports, using tankers. Since the shipping costs are a major expense for the company, management is initiating a study to reduce them as much as possible. For the upcoming season, has come up with an estimation of the available output from each cannery. Furthermore, each destination port has also specific requirements for the total supply of peas that have to be satisfied. This information (in units of tanker loads), along with the shipping cost per tanker load for each loading - destination port combination, is given in Tables 1 and 2. The problem for the A&B Transport Co. is to determine the shipping strategy given the various loading - destination port combinations, so that the total shipping costs are minimised. Question 1 . A&B Transport Co is thinking of including in its strategy the shipment…arrow_forwardLa Vie Sdn Bhd owns five book cafes and four bakeries. Table 1a shows the location, monthly supply and demand between the bakeries and the cafes. Table 1b provides the transportation cost from the bakeries to the cafes. Determine the minimum cost bearable by the company by applying the North-West Corner method. Optimise the solution using the Stepping Stone Method. Bakery location/ Lokasi bakeri Cheras Sentul Bangsar Kelana Jaya Bakery location/ Lokasi bakeri Cheras Sentul Bangsar Kelana Jaya Monthly supply/ Bekalan bulanan Arissa (RM) 11 7 2 Table la 120 180 100 120 Table 1b La Mere Tiramisu (RM) 15 9 5 5 Cafe / Kafe Arissa La Mere Tiramisu Riviere Mer Solve a Transportation Problem using the > i) The North West Method ii) The Stepping Stone Method (RM) 9 7 7 7 Monthly demand/ Permintaan bulanan Riviere (RM) 7 12 150 120 100 90 60 Mer (RM) 10 14 16 20arrow_forwardConsider Amazon that recently opened its own stores. Research the location of Amazon stores in the Boston area. Discuss how Amazon is using the location component of its facilities decisions in choosing its store locations. Consider the shuttle service provided by the school from the T station to the campus. When in the day the shuttles have a high utilization? When do they have a very low utilization? What do you recommend to achieve a more even utilization rate during the day?arrow_forward
- A company has a manufacturing plant that supply three markets in city A, B, and C. Management is looking for a place to locate a single distribution that will minimize total transportation costs. The plant is estimated to move (send) a total of shipment of 12,700 ton per month to the new distribution center. The transportation rate of moving shipment from the plant to the distribution center is $ 0.08 per ton per mile. Market A will receive a total shipment of 6,200 ton per month, market B will receive a total shipment of 2,000 ton per month, and market C will receive a total shipment of 4,500 ton per month. The transportation rate between the distribution center and the markets are as follows: $0.19 per ton per mile to market A, $0.37 per ton per mile to market B, and $0.25 per ton per mile to market C. The horizontal and vertical coordinates of the plants and markets are follows: Plant, 25, 75 Market A, 30, 5 Market B, 36, 24 Market C, 15, 40 Use the Center-of-Gravity method to find…arrow_forwardA chain of home health care firms in Louisiana needs to locate a central office from which to conduct internal audits and other periodic reviews of its facilities. These facilities are scattered throughout the state, as detailed in the following table. Each site, except for Houma, will be visited three times each year by a team of workers, who will drive from the central office to the site. Houma will be visited five times a year. Which coordinates represent a good central location for this office? What other factorsmight influence the office location decision? Where would youplace this office? Explain.arrow_forwardProblem 6-33 For the following highway network system, determine the maximal flow in vehicles per hour: 3 Maximal flow 2 2 5 2 Vehicle flow capacity: 5000 vehicles per hour vehicles per hour. The highway commission is considering adding highway section 3-4 to permit a flow of 2,000 vehicles per hour or, at an additional cost, a flow of 3,000 vehicles per hour. What is your recommendation for the 3-4 arc of the network? Recommended capacity ▼ vehicles per hour.arrow_forward
- Practical Management ScienceOperations ManagementISBN:9781337406659Author:WINSTON, Wayne L.Publisher:Cengage,