Case study 3:
You work for a large online retailer. They are trying to figure out if they should change all their delivery vehicles to electric vehicles (since the long term maintenance costs of electric vehicles are much lower) but they dont want to spend more than they have to in order to do that. This would entail having two different types of electric vehicles large vans for larger delivery areas and a smaller SUV for the smaller areas. They want you to tell the operations research team to create a model which can be solved by computer to recommend an optimal solution. Thinking back to the operations management discussion we had in class, write an instructional memo to your team. In the memo, explain the business goal, and suggest at least two constraints the team should consider.