12. Mitch just built 4 franchise locations for his newest pizzerias and wants to decide where to put his headquarters. He makes 3 weekly visits to his Northside store (X=3, Y = 10), 5 visits to his Eastside store (X=4, Y=6), 2 visits to his Southside store (X=3, Y = 5) and 3 visits to his Westside store (X= 1, Y = 5). Compute the center of gravity to help him with his location decision, using the number of weekly visits as the weights. 12a) What are the coordinates of the central location? 12b) If he plans to put his headquarters in one of the 4 store locations, which store should he choose (i.e. which one is closest to the center of gravity)?

12. Mitch just built 4 franchise locations for his newest pizzerias and wants to decide where to put his headquarters. He makes 3 weekly visits to his Northside store (X=3, Y = 10), 5 visits to his Eastside store (X=4, Y=6), 2 visits to his Southside store (X=3, Y = 5) and 3 visits to his Westside store (X= 1, Y = 5). Compute the center of gravity to help him with his location decision, using the number of weekly visits as the weights. 12a) What are the coordinates of the central location? 12b) If he plans to put his headquarters in one of the 4 store locations, which store should he choose (i.e. which one is closest to the center of gravity)?

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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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.
Location Score Factor (100 points each) Weight A B Convenience 0.15 89 82 87 Parking facilities 0.20 85 97 94 Display area 0.18 85 92 86 Shopper traffic 0.27 94 88 90 Operating costs 0.10 96 90 85 Neighborhood 0.10 80 91 89 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 C
Considering the following data:Location Alternatives(scored out of 100 pts each)Factors Weights A B CConvenience 0.15 86 85 78Parking Facilities 0.20 78 78 92Display Area 0.18 90 89 90Shopper Traffic 0.27 91 92 85Operating Costs 0.10 98 95 90Neighborhood 0.10 88 91 85a. Using the above factor ratings, calculate the composite score for each location.b. Determine which location alternative (A, B, or C) should be chosen on the basisof the maximum composite score.
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ABC Wants to choose the best location for its new aluminium plant. The manager of productions and operations has three possible locations to choose from. His assistant recommends that he use break-even analysis location technique to help determine which location is best based on costs. Design a numerical example in order to demonstrate to the Productions and Operations Manager how break-even analysis can be used in this Demonstrate to the OM manager how to go about choosing the best location using the numerical example you designed
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