How you would compute the objective function

Assignment Help Operation Management
Reference no: EM132302574

You work as an operations consultant for a textile company. Your client has a well-established distribution system in the US market. The company has hundreds of stores and four distribution centers. You will work with your client to determine the best way to distribute goods from distribution centers to retail stores.

The following information will guide you in analyzing the facility location decisions.

The company has 377 stores in 16 different states. See the number of stores per state in the Excel file.

The company has 6 distribution centers: Valdosta GA, Salisbury NC, Ft. Worth TX, Salt Lake City UT, Wichita, KS and Phoenix, AZ.

For each distribution center, information on estimated monthly capacity (in terms of number of truckloads of goods that can be shipped), and the distance between the distribution center locations and store locations are provided in the Excel file.

Your client tells you that the transportation cost will be $1.38 per mile per truckload.

Following Zara’s strategy of “fast fashion” or fast-response supply chain, your client makes three deliveriesto each store every week. Each delivery involves only one truckload. That is, a total of three truckloads of goods are shipped from the distribution centers to each retail store each week. In your analysis, assume that a month is only four weeks; this brings monthly store demand to 3x4=12 truckloads per month.

You will analyze the information provided, build spreadsheet models, and use optimization to make a recommendation to your client on which distribution centers should supply which retail stores.

A. Clearly define your decision variables in English. How many decision variables do you have?

B. What is the objective function in this problem? Explainhow you would compute the objective function (in English). The mathematical expression for the objective function is very long, so do NOT explicitly state the mathematical formula.

NOTE: In your Solver model, the unit of shipment should be the number of truckloads.

Reference no: EM132302574

Questions Cloud

Difference between Centralized TMS and Decentralized TMS : What is the difference between Centralized TMS and Decentralized TMS? Provide a real-life example of each.
Prepare to enter into the job market : As you prepare to enter into the job market (for a new career, or better position in the same career), you have to consider "your" goal in researching
What do you think about Corporate Social Responsibility : Some believe that embracing Corporate Social Responsibility (CSR) can be a competitive advantage; What do you think and why
Draw the relevant relational model : From the ER diagram, draw the relevant relational model:
How you would compute the objective function : What is the objective function in this problem? Explain how you would compute the objective function (in English).
Why transformation efforts fail : Read the article "Leading Change: Why Transformation Efforts Fail." Pick one of the 14 Deming's point and explain how it relates to the errors that Kotter
Person fit into an organization culture : How does an introvert person fit into an organization's culture? Please explain.
The negandhi estafen model of comparative management : Explain how Amazon has adopted the Negandhi Estafen model of comparative management.
Why companies adopt a performance excellence philosophy : What are the reasons why companies adopt a performance excellence philosophy?

Reviews

Write a Review

Operation Management Questions & Answers

  Phase method in solving the linear programming problem

Explain the conditions that guarantee you to use the big – M method or the two phase method in solving the linear programming problem.

  Customer service skills for starbucks franchise

Describe a training program you would develop that focuses on customer service skills for a Starbucks franchise?

  What way would you increase staff communication

In what way would you increase staff communication while handling this situation in the organization as a healthcare administrator?

  Describe what a financial reporting system is

Describe what a financial reporting system is and explain how management of ICBI should use an activity based budget instead of an operating budget.

  Amazon current behavior and business goals

Discussed whether the Amazon current behavior and business goals are aligned to its mission, vision, values, and core competencies.

  Fitness approach suitable response to low-cost competitors

Is LA Fitness's approach a suitable response to low-cost competitors? What should they do differently according to the consultants A.T. Kearney?

  Identify core competencies-resources and capabilities

Identify core competencies, resources, and capabilities found in your Strategic Audit firm. Explain how they make your Strategic Audit firm more competitive.

  Compare and contrast natural disaster

Compare and Contrast natural disaster within the United states with natural disasters in overseas.

  What type of ethical work issue are you interested and why

What type of ethical work issue are you interested and why?

  Use the federal registry on a regular basis

The average business manager is not likely to know about or use the Federal Registry. Discuss whether or not it important for the average manager in today's business climate to use the Federal Registry on a regular basis.

  Use of slang make communication across cultures

How can the use of slang make communication across cultures more challenging and often create a language barrier? Provide examples. How can individuals in business be more sensitive to other cultures and eliminate barriers when communicating?

  Why is it necessary to involve them in leadership leverage

The top managers are very busy people. Why is it necessary to involve them in leadership leverage? The program took 5 years to get to the end point. Is that realistic, or did it take to long? Explain why the timing may vary. Would you let the names o..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd