Question: Please write clearly or use the computer to type the answer so that I can see it clearly, thank you!!! There is a Hospital that

Please write clearly or use the computer to type the answer so that I can see it clearly, thank you!!!

There is a Hospital that they provide different types of masks to hospitals in HK's 9 districts. For the he Hospital faces two warehousing options. Option One is to use a decentralized system of 9 warehouses, each of which serves a region. Each warehouse is independent of other warehouses for ordering. Each warehouse faces an average lead-time demand of 30,000 face masks per week, with a standard deviation of 2,000. Option two is to use a centralized warehouse to meet the needs of 9 regions. Assume that the replenishment lead time for a week is constant and the same for both options.

(a) Determine the potential warehouse location with X and Y coordinates using center of gravity method. From a logistics managers point of view, discuss THREE factors that the hospital should consider before adoption of the location solution determined by the center of gravity method.

Location

Hospital

Demand (units)

X-coordinate

Y-coordinate

Castle Peak Hospital

3,000

20

110

Pok Oi Hospital

7,000

30

120

Siu Lam Hospital

4,000

40

80

Tin Shui Wai Hospital

6,000

60

100

Tuen Mun Hospital

10,000

50

100

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