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The Dynaco Manufacturing Company is going to build a new plant to manufacture ring bearings (used in automobiles and trucks). The site selection team is evaluating three sites, and they have scored the critical success factors for each as shown below. The weights reflect the same relative importance as we have used and discussed. They want to use these ratings to compare the locations.
Critical Success Factors
Weight
Site 1
Site 2
Site 3
Labor Cost
????
$6 million
$5 million
$6.5 million
Labor pool and climate
0.30
80
65
90
Proximity to suppliers
0.20
100
91
75
Community environment
0.15
Proximity to customers
0.10
95
Shipping modes
50
The non-economic scores are on a 0 to 100 basis with 100 being best.
a) Using the factor rating (scoring) method that we learned during the class, which site should Dynaco use based on the above information? Please fill in any missing information.
b) Currently the Site 1 Proximity to Customers score is 65. Dynaco is interested in learning what the value of the Proximity to Customers score for Site 1 must be so that the resulting total factor score for Site 1 is equal to that for Site 3. What must this score be so that the resulting total scores for the two sites are equal?
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