Network Design

NIA Manufacturing needs to build a new plant to serve four market regions. NIA has three supply sources. The coordinates of location, the demand of each market region, maximum units from each supply source and the shipping cost from each supply source or to each market region are shown in the data set linked below.

Network Design Data Set (XLSX)Download Network Design Data Set (XLSX)

Where should NIA locate its plant?

In your own words explain the computation or the formula for the distance between facility and location (x,y) and supply source/market. Also, explain the computation/formula for Total Cost.

		$/Ton Mile	Dn	Xn	Yn
Supply Sources	S1	1.8	190	222	730
S2	2.1	160	660	450
S3	1.2	130	582	450
Markets	M1	1.2	120	576	420
M2	2.3	95	245	100
M3	1.4	75	481	900
M4	2.9	105	810	380