Question: Case Study: SIKA Optimizing the APAC Epoxi Flooring Supply Chain. IGNORE the delivery lead time requirements. You must provide a solution that has at least

Case Study: SIKA Optimizing the APAC Epoxi Flooring Supply Chain.

IGNORE the delivery lead time requirements. You must provide a solution that has at least 700 tons of spare capacity. Provide a summary report where you provide detailed responses to Part 1 outlined below as well as a summary of your answers to Parts 2 and 3.

  1. Part 1: Develop an optimization model for SIKAs APAC region. Make sure you complete all six basic steps when setting up your model:
    1. Understand the problem thoroughly.
    2. Describe the objective in words.
    3. Describe each constraint in words.
    4. Define the decision variables
    5. Write the objective in terms of the decision variables
    6. Write the constraints in terms of the decision variables

2. Part 2: Implement your model using Excel Solver. Provide a summary of your solution, which plants should remain open? Which ones should be closed? What is the total cost of the optimal solution?

Part 3: This case study was written prior to the COVID-19 pandemic. Considering the supply chain disruptions we have experienced as a result of the pandemic and the need to increase supply chain resilience; would you recommend SIKA to implement the solution obtained in Part 2? Why or why not? If not, what alternative recommendations could you provide if management still wants to increase plant utilization and reduce costs? Any suggestions that deviate from those obtained in Part 2 need to be specific. For example, if you wish to use more (fewer) facilities then you should indicate which facilities you would add (delete) from the optimal solution obtained in Part 2. (Note: If you wish to recommend a solution that deviates from the one you obtained in Part 2, you still must validate your suggestion using an optimization model. For example if you wish to propose a solution with a higher or lower number of open plants compared to the solution obtained in Part 2, you can add a constraint that indicates how many facilities you wish to use and run the model with this additional constraint.

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