The Westfall Company has a large contract to produce garden hoses for a large discount chain. Westfall
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Question:
The Westfall Company has a large contract to produce garden hoses for a large discount chain. Westfall is considering four different manufacturing facilities in Boise, Denver, Salt Lake City and Reno. Their main demand locations are in Seattle, Portland, San Francisco and Los Angeles. All pertinent data is given in the table below.
Sources | Fixed Cost | Shipping Cost to Destination: | Capacity | |||
Seattle | Portland | San Francisco | Los Angeles | |||
Boise | 160,000 | 4 | 6 | 9 | 4 | 10,000 |
Denver | 230,000 | 9 | 7 | 7 | 9 | 10,000 |
Salt Lake City | 450,000 | 8 | 4 | 2 | 8 | 12,000 |
Reno | 390,000 | 12 | 6 | 2 | 12 | 9,000 |
Demand | 9,000 | 10,000 | 10,000 | 12,000 |
Management must come up with a plan to decide which facilities are going to be open and how to manage the whole supply chain. Formulate this problem as a Linear Programming Problem
- What is the objective function?
- What are the constraints?
- Which manufacturing facilities are open? List any unused capacities at the plants.
- What is the total cost of this supply chain?
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