Consider the following problem: A company supplies goods to three customers, who each require 30 units. The company has two warehouses. Warehouse 1 has 40 units available, and warehouse 2 has 30 units available. The costs of shipping 1 unit from warehouse to customer are shown below. From To Warehouse 1 Customer 1 $15 Customer 2 35 Customer 3 25 Warehouse 2 10 50 40 There is a penalty for each unmet customer unit of demand: With customer 1, a penalty cost of $90 is incurred; with customer 2, $80; and with customer 3, $110. a. Formulate the corresponding model to determine the optimal transportation schedule. b. Solve the model using northwest-corner method and stepping-stone method.
Q: When will the project be completed?
A: Project network diagram is the diagram that visually represent the project activities and their…
Q: Explain why it is critical to integrate product demands with production procedures.
A: Production procedures: Production procedures are defined as what kind of methods to…
Q: eated. Briefly describe one type
A: A risk assessment is an attempt that is made to discover what dangers may be present in a certain…
Q: What are your preferred methods of receiving information? Does your answer differ depending on the…
A: Communication can be stated as the two-way approach wherein any information or data in the form of…
Q: If Julia clears at least $1,000 in profit for each game after paying all her expenses, she believes…
A: Linear programming is a mathematical technique that is also used in operations management…
Q: a. How many decision variables will the linear programming model include? Number of decision…
A: Linear programming is a mathematical technique that is also used in operations management…
Q: Supppose that customers are asked to rate the quality of the service provided at a busy service…
A: a. Reliability, Assurance, Tangibles, Empathy, and Responsiveness;- These all are the…
Q: What Impact Does Reliability Have on My Material Costs?
A: Reliability is an important determinant in deciding upon the material cost.
Q: Give example each of the types of costs that will be incurred under the following Labour and…
A: To run and operate an organization, a firm has to incur costs. An organization needs labor and raw…
Q: Define and explain Value Chain. List the core activities along the value chain and explain them in…
A: The value chain is more than just an idea to be aware of in business classes; it’s a real part of…
Q: What is ABC Classification?
A: For companies that deal with large volumes of inventory, it’s useful to find a method to classify…
Q: Why should Operations Management be taught in course curriculum of BBA? What is OM all about? Why is…
A: It is a course which is used to design to provide knowledge to the business professionals about the…
Q: Consider the transportation table below. Unit costs for each shipping route are in dollars.…
A: Least cost method is used to find the total cost of transportation of goods from source to…
Q: The information security plan of an organisation serves as a project strategy, but how is this…
A: Organizations use an information security plan to secure company details and information from being…
Q: i) Is this a balanced problem? Why? ii) Obtain the initial feasible solution using the Northwest…
A: The transportation model is used to calculate the minimum cost of the route by selecting different…
Q: a.) For what values of volume, V, of production, if any, is site C a recommended site? b.) What…
A: Crossover analysis is the analysis through which a point is identified for the better cost or profit…
Q: .7 .6 .5 .4 .3 .2 .1 0 -1- 012 3 Process A Process B Process C 4 5 6 7 8 9 10
A: Statistical process control is described as the means and ways through which statistical approaches…
Q: ge of producti
A: A system for agreed standards for every stage of production is known as Quality assurance.
Q: dentify and discuss the theories of leadership and motivate which of these offers an adequate…
A: Leadership theory studies the qualities of good leaders. Psychologists analyze and develop…
Q: North South Bank employs several account officers, each working eight hours per day. The processes a…
A: Option 3 is correct How many officers are currently employed? 3 officers Given: Each officer working…
Q: The difference between a group and a team is that
A: Group is Collection of individuals who coordinate their efforts and have individual gaols. Team is…
Q: Forecast February by: Arithmetic Average Weighted moving average, weights are 8 and 2. Which method…
A: Forecasting can be stated as the technique of anticipating or predicting the upcoming time or future…
Q: he method of identifying many factors is referred to as multifactor identification. How can this…
A: 2FA is implemented to better protect both a user's credentials and the resources the user can…
Q: Because of the perishability of services, _____________ is especially important. Group of answer…
A: Service delivery is perishable in nature, i.e. it cant be produced and stored for later use like…
Q: An operations area task performed in a restaurant is: Select one: a. Calculate the profit and loss…
A: The daily activities of a corporation involved in producing and selling its product, generating…
Q: John was asked to review a new computer part that is going to be manufactured in five different…
A: Engineering is an important and learned profession. As members of this profession, engineers are…
Q: Which of the following is a factor that affects service capacity planning? A) the need to be near…
A: Capacity planning is described as the process through which resources are determined for meeting the…
Q: The fixed costs of Chun Company are $309,000 and the total variable costs for its only product are…
A: The question is related to Cost Volume Profit Analysis. First we will calculate Profit under present…
Q: There are two distinct types of services that may be obtained via the use of applications on the…
A: The internet provides unlimited entertainment to people. Through using the internet anyone can play…
Q: 3. What is ABC Classification? 4. What is JIT? 5. What is the Kanban System?
A: Inventory management is the process of ordering, storing, using, and selling goods. This comprises…
Q: Critically discuss and distinguish Full insurance efficiency, Allocative efficiency and Informative…
A: To survive in today's environment, every organization has to be efficient in nature. Efficiency is a…
Q: Roger Ginde is developing a program in supply chain management certification for managers. Ginde has…
A: Given data is
Q: GENERATE THE DECISION VARIABLE SOLUTION AND GENERATE AN ANSWER REPORT 1. Southern Sporting Goods…
A: Let, B = Units of basketball to be produced F = Units of Football to be produced Objective…
Q: 4. What is the difference between competitive advantage and sustainable competitive advantage? 5.…
A: Since you have asked multiple questions, we will solve anyone for you, hence solving the first…
Q: Identify the strategic issues facing craft brewers in 2021. What effects may these issues have on…
A: There are categories within craft that are growing faster than IPA's where you can see craft beer…
Q: You could be wondering why it is of such vital relevance to the organisation and whether or not you…
A: The goal of activity resource estimating is to assign resources to each activity in the activity…
Q: The smallest defect in a computer chip will render the entire chip worthless. Therefore, tight…
A: Given data Sample size (n) = 1000 Defective size or percentage of defects = 1.5% Z-score = 3
Q: The current spot exchange rate is E$/£ = 1.32 and the 3-month forward rate is F$/£ = 1.26. Based on…
A: A spot exchange rate is a price at which an individual derives a currency in exchange for another so…
Q: b) What is the bottleneck time of this work cell? c) What is the bottleneck station? d) If the…
A: Production is the process in which inputs are combined to have the required output. It includes a…
Q: gate Planning problem?
A: The standard aggregate planning problem expects to decide the creation levels, stock kept in the…
Q: 1. Southern Sporting Goods Company makes basketballs and footballs. Each product is produced from…
A: Objective Functions and Constraints: Based on the given details, the objective…
Q: A direct time study was taken on a manual work cycle using the snapback timing method. The regular…
A: Standard Time is the amount of time it takes a qualified worker to complete a task to "Standard…
Q: What is the most effective strategy to allocate resources to satisfy the demands of the customer?
A: Resource Allocation: Resource allocation is defined as allocating the manpower,…
Q: A linear programming computer package is needed. of a of customers make reservations via phone.…
A: Given data is Day Minimum employees needed Monday 75 Tuesday 55 Wednesday 50 Thursday 70…
Q: In comparing two procCesses, say Process A and Process B, we say that Process A is more efficient…
A: a. Process A better supports specification limit verification:- This will make the process more…
Q: ation and enhances competitive advantage for the organisation. Using practical examples and…
A: Maintaining a private venture frequently implies the buck starts and stops with you. Yet, to draw in…
Q: Write the Liner programming model used for scheduling the following project. 2 3 5 3 1 4 4 6 5 2 3
A: A network is a graphical representation of a project, depicting the flow as well as the sequence of…
Q: Warehousing is an important contributor to both productivity management and quality in a…
A: Given: Stock keeping unit(SKU) Number of pallets SKU 010 4 SKU 020 6 SKU 030 14 SKU 040…
Q: trategic management and planning. Discuss briefly why ethical decision-making is essential in…
A: Indicate whether or not the organization where you are employed engages in strategic management and…
Q: Sunblessed Juice Company sells bags of oranges and cartons of orange juice. Sunblessed grades…
A: Revenue and variable cost: Grades of oranges that are available: least average quality that is…
Trending now
This is a popular solution!
Step by step
Solved in 4 steps with 4 images
- The Tinkan Company produces one-pound cans for the Canadian salmon industry. Each year the salmon spawn during a 24-hour period and must be canned immediately. Tinkan has the following agreement with the salmon industry. The company can deliver as many cans as it chooses. Then the salmon are caught. For each can by which Tinkan falls short of the salmon industrys needs, the company pays the industry a 2 penalty. Cans cost Tinkan 1 to produce and are sold by Tinkan for 2 per can. If any cans are left over, they are returned to Tinkan and the company reimburses the industry 2 for each extra can. These extra cans are put in storage for next year. Each year a can is held in storage, a carrying cost equal to 20% of the cans production cost is incurred. It is well known that the number of salmon harvested during a year is strongly related to the number of salmon harvested the previous year. In fact, using past data, Tinkan estimates that the harvest size in year t, Ht (measured in the number of cans required), is related to the harvest size in the previous year, Ht1, by the equation Ht = Ht1et where et is normally distributed with mean 1.02 and standard deviation 0.10. Tinkan plans to use the following production strategy. For some value of x, it produces enough cans at the beginning of year t to bring its inventory up to x+Ht, where Ht is the predicted harvest size in year t. Then it delivers these cans to the salmon industry. For example, if it uses x = 100,000, the predicted harvest size is 500,000 cans, and 80,000 cans are already in inventory, then Tinkan produces and delivers 520,000 cans. Given that the harvest size for the previous year was 550,000 cans, use simulation to help Tinkan develop a production strategy that maximizes its expected profit over the next 20 years. Assume that the company begins year 1 with an initial inventory of 300,000 cans.Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. Is Ben Gibson acting legally? Is he acting ethically? Why or why not?Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing expenditures for packaging materials with Jeff Joyner. Ben was particularly disturbed about the amount spent on corrugated boxes purchased from Southeastern Corrugated. Ben said, I dont like the salesman from that company. He comes around here acting like he owns the place. He loves to tell us about his fancy car, house, and vacations. It seems to me he must be making too much money off of us! Jeff responded that he heard Southeastern Corrugated was going to ask for a price increase to cover the rising costs of raw material paper stock. Jeff further stated that Southeastern would probably ask for more than what was justified simply from rising paper stock costs. After the meeting, Ben decided he had heard enough. After all, he prided himself on being a results-oriented manager. There was no way he was going to allow that salesman to keep taking advantage of Coastal Products. Ben called Jeff and told him it was time to rebid the corrugated contract before Southeastern came in with a price increase request. Who did Jeff know that might be interested in the business? Jeff replied he had several companies in mind to include in the bidding process. These companies would surely come in at a lower price, partly because they used lower-grade boxes that would probably work well enough in Coastal Products process. Jeff also explained that these suppliers were not serious contenders for the business. Their purpose was to create competition with the bids. Ben told Jeff to make sure that Southeastern was well aware that these new suppliers were bidding on the contract. He also said to make sure the suppliers knew that price was going to be the determining factor in this quote, because he considered corrugated boxes to be a standard industry item. As the Marketing Manager for Southeastern Corrugated, what would you do upon receiving the request for quotation from Coastal Products?
- The GIIC -Company must determine a policy for ordering coal to operate 15 smelters. Each smelter requires exactly 5 tons of coal per day to operate, and the firm operates 360 days per year. The purchasing manager has negotiated a contract to obtain the coal for 5 BD per ton for the coming year. The purchasing manager has determined that the ordering cost is 40 BD per order, and the cost of holding coal is 20% per ton of its value. i. Determine the optimal quantity of coal to receive in each order. ii. Determine the total inventory-related costs associated with the optimal ordering policy (do not include the cost ii. If five days' lead time is required to receive an order of coal, how much coal should be on hand when an iv. Optimal quantity 1837.11 Tons, Total cost 1837.11 BD, Inventory during LT 275 Tons of the coal). order is placed? i. Optimal quantity 1469.694 Tons, Total cost 1469.694 BD, Inventory during LT 375 Tons ii. Optimal quantity 734.85 Tons, Total cost 1649.694 BD,…The local supermarket buys lettuce each day to ensure very fresh produce. Each morning, any lettuce that is left from the previous day is sold to a dealer that resells it to farmers who use it to feed their animals. This week, the supermarket can buy fresh lettuce for $4 a box. The lettuce is sold for $10 a box and the dealer that sells old lettuce is willing to pay $1.50 a box. Past history says that tomorrow’s demand for lettuce averages 250 boxes, with a standard deviation of 34 boxes. How many boxes of lettuce should the supermarket purchase tomorrow?A manufacturer has a production facility that requires 15,604 units of component JY21 per year. Following a long-term contract, the manufacturer purchases component JY21 from a supplier with a lead time of 7 days. The unit purchase cost is $25.6 per unit. The cost to place and process an order from the supplier is $121 per order. The unit inventory carrying cost per year is 10.5 percent of the unit purchase cost. The manufacturer operates 250 days a year. Assume EOQ model is appropriate. If the manufacturer uses a constant order quantity of 2,640 units per order, what is the annual holding cost? Use at least 4 decimal places.
- Boston Company use a special part in manufacturing of its finished products. The unit cost thisspecial part is $ 35, and details of its manufacturing cost is as follows. The $35 unit productcost of this part is based on average 25,000 number of parts produced each year.An outside supplier has offered to supply the 25,000 parts at a cost of $30 per part. The specialequipment used to manufacture the above part. This equipment can only be used formanufacturing of this part and if not used it has no resale value.The total amount of general factory overhead, which is allocated based on direct labor-hours,would be unaffected by this decision because it is fixed cost..Suggest the management whether to stop producing internally and buy them from theoutside supplier?Description CAD Direct Materials 10Direct Labor 6Variable overheads…for managing its data processing operation: continuing with its own staff, hiring an outside vendor to do the managing (referred to as outsourcing), or using a combination of its own staff and an outside vendor. The cost of the operation depends on future demand. The annual cost of each option (in thousands) depends on demand as follows. DEMAND STAFFING OPTIONS HIGH MEDIUM LOW Own Staff 650 650 600 Outside Vendor 900 600 300 Combination 800 650 500 Based on decision analysis under uncertainty, determine the best decision each of the model. Then compare all the model decision to make it overall conclusion.Global Logistics needs to rent space for storing product for the next three years. The following information regarding the demand and spot price is available. Current demand for the product is 150,000. Historically, Global Logistics has required 1500 square feet to store 1500 units of the product. Demand for the product can go up by 20% with a probability of 0.7 or down by 20% with a probability of 0.3. Global Logistics can sign a three-year fixed lease to rent 150,000 square feet of space at $1.00 per square foot per year. The firm may also choose to obtain warehousing space on the spot market. The current spot market price is $1.20 per square foot per year. The spot price can go up by 10% with a probability of 0.8 and can decrease by 10% with a probability of 0.2. The firm receives a revenue of $1.22 for each unit of demand. a) Create a decision tree showing period 0, 1 and 2 for the scenario described above. b) Calculate the NPV for the option when the firm decides to sign a…
- The number of taxicabs in Motorville and the taxicab fares are regulated. The fare currently charged is Rs.500 a ride. Motorville taxicab drivers want to obtain government's permission to raise the fare to increase their revenues and ask you to be their economic adviser. After studying the market, you come up with the following demand schedule for taxicab rides: Price (Rupees per ride) Quantity demanded (rides per month) 300 160 400 120 500 80 600 40 700 0 (i) Calculate the price elasticity of demand for taxicab rides as the fare rises from Rs.500 to Rs.600. Is the demand…Ruby-Star Incorporated is considering two different vendors for one of its top-selling products which has an average weekly demand of 60 units and is valued at $60 per unit. Inbound shipments from vendor 1 will average 370 units with an average lead time (including ordering delays and transit time) of 5 weeks. Inbound shipments from vendor 2 will average 520 units with an average lead time of 1 week. Ruby-Star operates 52 weeks per year; it carries a 5-week supply of inventory as safety stock and no anticipation inventory. a. What would be the average aggregate inventory value of this product if Ruby-Star used vendor 1 exclusively?b. What would be the average aggregate inventory value of this product if Ruby-Star used vendor 2 exclusively?c. How would your analysis change if average weekly demand increased to 100 units per week?Ruby-Star Incorporated is considering two different vendors for one of its top-selling products which has an average weekly demand of 30 units and is valued at $60 per unit. Inbound shipments from vendor 1 will average 330 units with an average lead time (including ordering delays and transit time) of 4 weeks. Inbound shipments from vendor 2 will average 450 units with an average lead time of 3 weeks. Ruby-Star operates 52 weeks per year; it carries a 4-week supply of inventory as safety stock and no anticipation inventory. A. the average aggregate inventory value of the product if ruby star used vendor 1 exclusively is $_____ (enter your response as a whole number) B. the average aggregate inventory value of the product if ruby sta used vendor 2 exclusively is $______ (enter your response as a whole number) C. how would your analysis change if average weekly demand increased to 140 units per week? the average aggregate inventory value of the product if ruby star used vendor 1…