Factor rating method, Operation Management

Assignment Help:

East Coast Manufacturing, Inc. plans to locate a new production facility in Hartford, Philadelphia, or Baltimore.  Six location factors are important:  cost per product unit, labor availability, union activities, local transportation, proximity to similar industry and proximity to raw materials.  The weighting of these factors, the scale for each factor and the scores for each location are shown below.   Different SME's (subject matter experts) scored each of the non-economic factors.  So, unfortunately, the scores for the non-economic factors are scaled differently.  The scales are indicated on the table.  On the scale, the highest score is always the best value.  For example, for the scale 1-5, the best value is 5.  For each of the Non-economic factors, it is possible to score the maximum. 

Location Factor

Factor Weight

Scale

Hartford

Philadelphia

Baltimore

Cost per product unit

0.55

 

$48

$59

$52

Labour availability

0.15

0-5

2.5

4.0

4.0

Union activities

0.10

0-3

2.7

1.8

0.9

Local transportation

0.10

0-3

1.2

2.4

2.4

Proximity to similar industry

0.05

0-1

0.5

1.0

0.7

Proximity to raw materials

0.05

0-1

0.7

0.6

0.4

For the following, calculate all results three decimal place (example, 0.xxx or x.xxx).

a) Using the factor scoring (or equivalent the factor rating) approach we studied in class and modified as appropriate, which site do you recommend?  Why?

b)  With everything else remaining the same as in the problem statement, what must the cost per product unit for Philadelphia be so that its total factor score is equal to the total factor score for Hartford?


Related Discussions:- Factor rating method

Explain writing the final case study and strategic plan, Read the Starbucks...

Read the Starbucks Global Quest 2006: Is the Best Yet to Come? Case provided in the Course Materials section. From the perspective of an executive with the firm, prepare a 10-12 pa

Explain what is the expected value with perfect information, ABC Company, a...

ABC Company, a soft-drink vendor, has created a table of payoffs for three stocking decisions for three different states of nature: States of nature (Demand) Alternatives He

Define how many spools should be tested for quality control, A clothing man...

A clothing manufacturer receives a shipment of 30 spools of wool from its supplier. Using Mil Std 105E under normal conditions, how many spools should be tested for quality control

Explain what is the efficiency of line balance, 1). Some tasks and the orde...

1). Some tasks and the order in which they must be performed according to their assembly requirements are shown in the following table. These are to be combined into workstations t

Explain repeat a signal form router to a workstation, On a 100BaseT Etherne...

On a 100BaseT Ethernet network, what is the maximum number of hubs that can be used to repeat a signal form a router to a workstation? a. 1 b. 2. c. 3 d. 4

Explain how do these policies and practices align, Analyze Apple, Inc.'s le...

Analyze Apple, Inc.'s legal and compliance policies and practices. How do these policies and practices align with Apple, Inc.'s legal compliance standards? If alignment is n

Describe rented books and did not get the discount, Hi I answers a question...

Hi I answers a question and earned 10 percent off my next purchased. I just rented books and did not get the discount how can i reversed this??

Someone asists me to write a paper about projected revenues, Someone help m...

Someone help me to write a paper about projected revenues and profits of selling kids bike in botoga Columbia.

Customisation - customers needs for a product, Customisation - Customers Ne...

Customisation - Customers Needs For a Product The ability of the operations system to tailor its outputs to meet special requirements of customers. Vision Express has taken a

Explain business as a sole proprietorship, Conway just received his contrac...

Conway just received his contractor's license in the state of Virginia. For years, Conway did light construction work for a few commercial accounts. He was very successful and had

Write Your Message!

Captcha
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