Companies often don't consider the location decision to be a Lean concept, but they should. Moving goods efficiently from raw material sites to processing facilities, manufacturers, distributors, retailers, and customers is critical to remaining competitive in today's global economy.

When manufacturers make location decisions, their priority is to minimize cost. Retailers look to maximize revenue where possible. Locating new facilities is a strategic decision that, once made, cannot be changed easily in the short term. Yet many organizationsespecially small and mid-sized businessesoften neglect or delay this decision. An entire organization can feel the impact of indecisionespecially in today's global economy, which is far from static. Risks include demand volatility, omni-channel distribution, shrinking lead times, reduced product development, and shorter product lifecycles.
With this regard,

1) Examine the feasible set approaches that an organization should consider regarding the facility location decisions.