QUESTION#2 a). The point has been reached where a Yagga Rowe Ltd must expand by building a
Question:
QUESTION#2
a). The point has been reached where a Yagga Rowe Ltd must expand by building a new facility. The search has been narrowed to four locations, all of which are acceptable to management. The assessment of these sites is being made on the basis of the six subjective location factors as in the table below. Management has agreed to use a five-point scale (Excellent = 5, Very good = 4, Good = 3, Fair = 2, Poor = 1) to quantify and compare their subjective opinions about the relative goodness of the sites. The weight reflects the importance of each factor in the decision.
FACTOR EVALUATION BY LOCATION | |||||
Weight | A | B | C | D | |
Labor climate | 35 | Excellent | Very Good | Very good | Excellent |
Quality of life | 25 | Fair | Good | Very Good | Poor |
Transportation | 15 | Good | Very Good | Good | Fair |
Markets | 10 | Excellent | Good | Very Good | Very Good |
Taxes | 10 | Fair | Very Good | Good | Very Good |
Utilities | 5 | Excellent | Very Good | Good | Good |
- Based on the information in Scenario 1, what is the weighted score for location A?
- Based on the information in Scenario 1, which two locations have the same (equal) weighted scores?
- Based on the information in Scenario 1, which location has the lowest weighted score?
- Based on the information in Scenario 1, where should the new store be located?
b). The Ministry of Education recently designated Clarendon as its newest Region. The Regional Director is considering where in the parish to house its regional office (the office must also be located at an existing school for cost reasons). If there are five main schools in the parish, with locations and size given in the following table, use the center-of-gravity method to determine at which school the regional (central) office should be placed to minimize the average distance between the office and students. Round off to the nearest whole number. (8 marks)
High Schools | (X, Y) | Size (Enrollment) |
Alston High | (5,5) | 2500 |
Knox College | (0,5) | 1000 |
Clarendon College | (0,0) | 10,000 |
Edwin Allen | (5,0) | 4500 |
Glenmuir | (2,1) | 7500 |
c). How do service facility location decisions differ from industrial location decisions in terms of the techniques used to analyze them?
Operations Management Processes And Supply Chains
ISBN: 9781292409863
13th Global Edition
Authors: Lee Krajewski, Naresh Malhotra, Larry Ritzman