Question: 1. What is Centre of Gravity method in Facility Location Decision Making. ( 2mks) . Find the Centre of Gravity with the information provided below.

1.What is Centre of Gravity method in Facility Location Decision Making. ( 2mks) .

Find the Centre of Gravity with the information provided below. (3 mks)

Destination

X

Y

L1

8

5

L2

6

2

L3

4

3

L4

3

5

2.Sushma has a thriving business selling her Jute bags through several popular websites. Her business volume has caused her to hire full-time employees. Her business has four main manufacturing operations: 1) cutting fabric (4 min), 2) stitching fabric (7 min), 3) adding zippers, toggles, and liner (10 min), and 4) inspecting, packing, and labeling (5 min). Employees work 7 hours per day. Help Sushma to determine the following:

  1. Based on her very high demand, is there a bottleneck and what stage is it? What is the capacity of the process per day?
  2. Sushmas employee at step #2 has found a new machine that will enable him to do the stitching faster, at a rate of 5 min per bag instead of 7 min. The machine costs Rs35000. Would you suggest this is a good investment to help Sushma increase her output? Why or why not ?

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