Question: Problem 4. You have been asked to replace the regular dispatcher who is out sick. Your company is located in Denton, TX and ships
Problem 4. You have been asked to replace the regular dispatcher who is out sick. Your company is located in Denton, TX and ships to three different customers on a regular basis. Depending on the volume shipped (CWT) and distance, your carrier assigns different rates. During the last 10 months, your firm has averaged the following orders and rates: Volumes in Ibs Day One Day Two Day Three Day Four Day Five Combined 40,000 44,000 38,000 28,750 48,000 Harrisburg 43,900 37,950 203,850 Seattle 29,000 27,000 32,000 30,000 146,750 Dallas 52,000 49,000 51,000 46,000 246,000 Day Four $ 210.00 $ 200.00 $ 225.00 S 195.00 $ 205.00 $ 190.00 $ 185.00 $ 195.00 $ 175.00 $ 180.00 $ 195.00$ 170.00 $ 150.00 $ 160.00 $ 155.00 $ 165.00 $ 160.00 $ 145.00 Rates per CWT Day One Day Two Day Three Day Five Combined Harrisburg Seattle Dallas Note: all rates are expressed in dollars per CWT. You need to convert the weight to CWT and determine the total cost. Distance has been previously factored into the rate per CWT. 1. What analysis would you perform and why? 2. What are the results of your analysis (show calculations to support)? 3. What would you recommend to your firm? Your customer? What actions could your firm and customer take to implement these recommendations?
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