Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
12th Edition
ISBN: 9780134741062
Author: Lee J. Krajewski, Manoj K. Malhotra, Larry P. Ritzman
Publisher: PEARSON
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Question
Chapter 13, Problem 18P
Summary Introduction
Case Summary: To get maximum profit during choose an ideal plant location; shipping cost is the huge expense in a business organization. Before calculating the shipping cost, the cost should be reduced to progress of business. Several factors like package dimensions, weight, and shipping destination must be considered.
Interpretation: The shipping
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Using the “Transportation Matrix”, solve the transportation problem below using the Northwest Corner and Intuitive Lowest-Cost methods. Use the Northwest Corner method result as the starting point and solve for the optimal solution using the Stepping-Stone method.
Show all steps and all calculations when doing the Stepping-Stone method.
Plants
Supply
Destination
Demand
Kansas City
35
Chicago
30
Omaha
50
St louis
65
Des Moines
50
Cincinnati
40
Total
135
Tons
Total
135
Tons
transport cost form Plants to Destinations ($/Ton)
Plants
Chicago
St louis
Cincinnati
Kansas city
$ 4.00
$ 3.00
$ 3.00
Omaha
$ 6.00
$ 7.00
$ 6.00
Des Moines
$ 8.00
$ 2.00
$ 5.00
A. Northwest Corner method
B. Intuitive Lowest-Cost method
C. Stepping-Stone method
A company has a contract to move 700 units of a product per day between three plants A, B, and C, and three destinations, X, Y, and Z. Cost (in hundreds of pesos) and volume information are given below. Compute the optimal transportation cost.
What mode of transportation is involved in the movement of the greatest number of products?
Chapter 13 Solutions
Operations Management: Processes and Supply Chains (12th Edition) (What's New in Operations Management)
Ch. 13 - Prob. 1DQCh. 13 - Prob. 2DQCh. 13 - Prob. 3DQCh. 13 - Prob. 1PCh. 13 - Prob. 2PCh. 13 - Prob. 3PCh. 13 - Prob. 4PCh. 13 - Prob. 5PCh. 13 - Prob. 6PCh. 13 - Prob. 7P
Ch. 13 - Prob. 8PCh. 13 - Prob. 9PCh. 13 - Prob. 10PCh. 13 - Prob. 11PCh. 13 - Prob. 12PCh. 13 - Prob. 13PCh. 13 - Prob. 14PCh. 13 - Prob. 15PCh. 13 - Prob. 16PCh. 13 - Prob. 17PCh. 13 - Prob. 18PCh. 13 - Prob. 19PCh. 13 - Prob. 20PCh. 13 - Prob. 21PCh. 13 - Prob. 22PCh. 13 - Prob. 23PCh. 13 - Prob. 24PCh. 13 - Prob. 1AMECh. 13 - Prob. 2AMECh. 13 - Prob. 3AMECh. 13 - Prob. 4AMECh. 13 - Prob. 1VCCh. 13 - Prob. 2VCCh. 13 - Prob. 3VC
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