Q4/ Consider building a new manufacturing plant, is to be located in London. For the three potential sites (location factor, weights, and scores '1 poor, 7 = excellent') shown in table below. What is the weighted score for these sites? Which is the best location? SI. No. Location factor Weight Scores Location 1 Location 2 Location 3 Facility utilization Total patient km per month Average time per emergency trip Land and construction costs Employee preferences 1. 30 3 6. 7 2. 33 5 2 4 3. 27 1 9. 13 7 6. 5. 10 5 2 Nm|寸|n 133

Q4/ Consider building a new manufacturing plant, is to be located in London. For the three potential sites (location factor, weights, and scores '1 poor, 7 = excellent') shown in table below. What is the weighted score for these sites? Which is the best location? SI. No. Location factor Weight Scores Location 1 Location 2 Location 3 Facility utilization Total patient km per month Average time per emergency trip Land and construction costs Employee preferences 1. 30 3 6. 7 2. 33 5 2 4 3. 27 1 9. 13 7 6. 5. 10 5 2 Nm|寸|n 133

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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Location Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 2 4 6 8 10 14 16 18 20 Q (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.
Populate the relevant data Is any alternative never preferred? Complete a numeric locational cost-volume Indicate over what range each of the alternatives A, B, C is the low-cost choice Costs A B C Fixed ($) 2,500,000 2,000,000 3,500,000 Variable ($ per unit) 20+6 23+6 15+6
Q Let us assume that a new medical facility, Health-care, is to be located in XYZ city. The location factors, factor rating and scores for two potential sites are shown in the following table. Which is the best location based on factor rating method? Sr Location factor Factor Rating Rating Location 1 Location 2 1 Facility utilization 10 5 4 2 Total patient per month 8 4 2 3 Average time per emergency trip 5 4 5 4 Land and construction costs 6 3 4 5 Employee preferences 7 4 4 6 Operations Facility 8 4 3
b. An operations manager has narrowed down the search for a new King Kola plant to three locations. Fixed and variable costs follow. Location Fixed Cost Variable Cost A $100,000 $10 B $150,000 $7 C $200,000 $5 600 Annual 500 Cost ($000) 400 300 200 100 6 8 10 14 16 18 20 0 (000s of units) i. Plot the total cost curves in the chart provided above and identify the range over which each location would be best. ii. Use break-even analysis to calculate exactly the break-even quantity that defines each range.
Q4/ Let us assume that a new manufacturing plant, is to be located in Berlin. The location factors, factor rating and scores for three potential sites are shown in the following table. (1) Discuss the data of the table. (2) Which is the best location based on factor rating method? SI. No. Location factor Weight Scores Location 1 24 Location 2 Location 3 Facility utilization Total patient km per month Average time per emergency trip Land and construction costs Employee preferences 1. 2. 28 29 30 16 33 26 30 3. 27 20 20 27 4. 13 13 12 13 5. 10 3 5 2
Problem 8-9 (Static) Location Score Factor (100 points each) Weight A B Convenience 0.15 80 70 Parking facilities 0.20 72 76 Display area 0.18 88 90 90 Shopper traffic 0.27 94 86 Operating costs 0.10 98 90 Neighborhood 0.10 96 85 182820 C 60 92 80 82 75 1.00 Click here for the Excel Data File a. Using the above factor ratings, calculate the composite score for each location. (Do not round intermediate calculations. Round your final answers to 2 decimal places.) Location Composite Score A B 0
Explain the a ssumptions behind the center-of-gravity method. How can the model be used in a service facility location?
Q2k Audi is considering three locations A, B and C for the production of its new model SUV XL500. The objective is to choose the location with the lowest costs. The costs are measured as annual fixed costs plus the variable costs of the product. The following data has been collected for the three locations.< Region Fixed costs per year A B C 10 000 000 20 000 000 25 000 000 Variable cost per unit 1. at what level of production will C be the best choice? 2. at what production rate will A be the best choice? 3. at what level of production will B be the best choice? 2500 2000< 1000< The company's projected annual production in the new plant is 0-60 000 units.< Ask
Q4) A manufacturing company preparing to build a new plant is considering three potential locations for it. The fixed and variable costs for the three alternative locations are presented below. Populate the relevant data using your group number Complete a numeric locational cost-volume Indicate over what range each of the alternatives A, B, C is the low-cost choice. Is any alternative never preferred? Costs A B C Fixed ($) 2,500,000 2,000,000 3,500,000 Variable ($ per unit) 20+13 23+13 15+13
Sam Hutchins is planning to operate a specialty bagel sandwich kiosk but is undecided about whether to locate in the downtown shopping plaza or in a suburban shopping mall. Based on the following data, which location would you recommend? Location Downtown Suburban Annual rent, including utilities Expected annual demand (sandwiches) Average variable costs per sandwich Average selling price per sandwich $12,000 30,000 $1.50 $3.25 $8,000 25,000 $1.00 $2.85
ABC Ltd. Wants to choose the best location for its new aluminum plant. The manager ofproductions and operations has three possible locations to choose from. His assistantrecommends that he use break-even analysis location technique to help determine whichlocation is best based on costs. . If total fixed cost = 40000 AVC = 20 Price per unit = 10 Break even point = 40000 / 20 - 10= 4000 So at the 4000 units of production, there will be no profit and loss as the total revenue is equal to the total cost. Demonstrate to the OM manager how to go about choosing the best location using thenumerical example you designed above.
Q 3 locations have been identified as suitable options for building a new factory. The fixed and variable costs for each of the 3 potential locations has been estimated. Identify the best location when a) Demand estimate is 2000 units b) Demand estimate is 3500 units and c) Identify point of indifference between B and C (Rupees) (Rupees) Location Annual Fixed Cost Unit Variable Cost A 5,00,000 300 B 7,50,000 200 C 9,00,000 100