Question: 2. The following matrix represents a warehouse location problem. There is a fixed cost for opening any of the five possible warehouses, and the cell

2. The following matrix represents a warehouse location problem. There is a fixed cost for opening any of the five possible warehouses, and the cell entries for each customer are the variable costs of serving that customer from each potential warehouse. The variable costs include inbound transportation, outbound transportation, and warehouse operating costs for all the customer’s requirements. The objective is to determine which warehouses should be used to serve all customers at minimum total cost. There are no capacity restrictions on the potential warehouses, but some warehouses cannot serve some customers.

a. Use the time-saved method for developing a route that minimizes time for a single vehicle

(without capacity restrictions) to follow in visiting each of these customers. Assume that the vehicle will start at the depot and must return to the depot.

b. Could the time-saved method be used if there were a 15-hour limit on a vehicle away from the depot? How?

Step by Step Solution

3.52 Rating (165 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Supply Chain Management Questions!