Question: plz solve in Excel ,if required solver solve with explanation in steps. need asap. will definitely upvote. Designing a Supply Chain. The Van Horne Company
plz solve in Excel ,if required solver solve with explanation in steps. need asap. will definitely upvote.
Designing a Supply Chain. The Van Horne Company manufactures air conditioners that are sold to five large retail customers around the country. Van Horne is evaluating its manufacturing and logistics strategy to ensure that it is operating as efficiently as possible. The company can produce air conditioners at six plants and stock these units in any of four different warehouses. The cost of manufacturing and shipping a unit between each plant and warehouse is summarized in the following table along with the fixed operating cost and monthly capacity for operating each plant: Similarly, the per-unit cost of shipping units from each warehouse to each customer is given in the following table, along with the monthly fixed cost of operating each warehouse: The monthly demand from each customer is summarized as follows:




a. Considering all of the costs and demands tabulated above, what is the minimum monthly operating cost for Van Hornes supply chain? b. Which plants and warehouses should Van Horne operate to meet demand in the most cost-effective manner?
Product Requirement Vendor A Volume Required Unit Price Vendor B Unit Price Volume Required $224 0-300 $214 300-500 500 $225 $220 0-250 250-500 2 1,000 0-1,000 $124 $115 0-600 600-1,000 $120 (no discount) 3 2,500 $50 $56 0-1,000 1,000-2,000 2,000-2,500 $54 $52 0-1,500 1,500-2,500 $51 Total Capacity (Units) 2.800 2,400 Plant 1 Plant 2 Planta Plant Plants Plant 6 WH1 WH 2 WH3 WH 4 Fixed Cost Plant Capacity $700 $1,000 $900 $1,200 $55,000 300 800 500 600 700 40,000 200 850 600 700 500 45,000 300 600 900 500 600 50,000 250 500 600 450 700 42,000 350 700 600 750 500 40,000 400 Cust1 Cust3 Custe Fixed Cost $40 SEO Cust2 $80 50 40 30 WH1 WH 2 WH 3 WH 4 75 Custs $50 35 20 $90 40 B0 50 $40,000 50,000 35,000 60,000 55 80 66 80 30 Cust1 Cust2 Cust3 Cust Custs Demand 200 300 200 150 250Step by Step Solution
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