Calculate the inventory carrying implications

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Reference no: EM133447156

Factor Rating System

A beer company is considering location of its bottling facility (mainly to produce cans). Factors that are important are material supply, labor cost, regulations, and transport access. Scores on each of these for the three locations under consideration are given in the following table. Weights are 0.3 for materials supply, 0.3 for labor cost, 0.2 for regulations, and 0.2 for transport access.

Factor	Texas	Ohio	Florida
Material Supply	50	90	80
Labor Cost	90	80	40
Regulations	100	60	30
Transport Access	30	80	70

Use the factor rating system to make a recommendation for the best location.

2- Aggregate Planning Strategy

An auto parts manufacturer supplies to several automakers and has the following numbers for monthly demand from automakers.

Month	Demand	# Production Days
January	250	22
February	400	18
March	180	20
April	85	21
May	555	20
June	375	22

Calculate the inventory carrying implications of following a level strategy.

Reference no: EM133447156

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