Harbor delivery service: case study Based on the two pictures below. And based in the solution in the schedule:Write a conclusion: explain what is your decision and why you choose your preferred option and other necessary explanations. SummaryWe have been tasked to determine the best power source for the harborsdelivery services boat fleet. They have posed the question which engine would be morecost effective for the fleet Diesel or Gasoline. Both engines have their good and badqualities to be reviewed against one another but freight management can not decidewhich single power source would be best for their whole fleet to convert to. In order todetermine which route would be best is to generate an economic analysis of the twoalternatives. There are 10 managers that have evaluated the two power sources asoptions and 5 of the 10 believe gasoline to be the better option due to the higher speedand lower maintenance cost. But diesel is also viewed as a superior option due to itsefficiency and lower overall cost of operation.The Specifications of the gasoline engine list it as costing $76,586 to purchasewith a 350 hp engine, a 300 gallon fuel capacity, moving 21.1 knots using 26 gallons perhour. The diesel specifications list it as costing $97,995 to purchase with a 300 hpengine, a 300 gallon fuel capacity, moving 17.4 knots using 17 gallons per hour. HDS Equivalent Uniform Annual WorthInitial CostAnnual O&MAnnual BenefitSalvage ValueUseful lifeMARRInitial CostAnnual O&MAnnual BenefitSalvage ValueUseful lifeGasoline$76,586.00$295,990.84$18,250.00$38,000.00318%Company AHDS given (2)IF16HDS given (2)!F40-50*365HDS given (2) IF263Diesel$97,995.00$367,889.900$48,000.00418%Company BHDS given (2) IG16HDS given (2110400HDS given (211G2645-button solutionGasolineDiesel5-button solutionGasolineDieselTable solutionGasolineDieseli18%18%i18%18%(76586+295990.84)*(A/P 18 %,3)-(18250-38000) (A/F,18%,3)(76586+295990.84)*(0.4599)-(18250+38000)*(0.2799)$155,603.71(97995+367889.90) (A/P,18% 41-48000 (A/F,18 %,4)197995+367889.90)*(0.3717)-48000* 1917)$163,967.82n3434PMTPMTPVFV Solve for($372,576.84) $56,250.00 PMT($465,884.90) $48,000.00 PMTPV(C5+06)(D5+06)FV-C7+C8-08Answer$155,611.26$163,983.98Formula-PMT 825,C25,E25,F25)PMT|B26,C26,E26,F26)FormulaSolve forPMTAnswer=PMTIH5,15,K5,L5) -PMT[825,C25,125,F25)PMT -PMTIH6,16,K6L6) -PMT1826,C26,E26,F26)

Decision-making is the process of making the best decision from the various alternatives available…

Harbor delivery service: case study Based on the two pictures below. And based in the solution in the schedule: Write a conclusion: explain what is your decision and why you choose your preferred option and other necessary explanations.

Harbor delivery service: case study Based on the two pictures below. And based in the solution in the schedule: Write a conclusion: explain what is your decision and why you choose your preferred option and other necessary explanations.

Purchasing and Supply Chain Management

6th Edition

ISBN:9781285869681

Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson

ChapterC: Cases

Section: Chapter Questions

Problem 5.1SC: Scenario 3 Ben Gibson, the purchasing manager at Coastal Products, was reviewing purchasing...

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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?
Monczka-T rcnt Shipping is t he logistics vendorfor Handfield Manufacturing Co. in Ohio. Handfield has dailyshipments of a power-steering pump from its Ohio plant to an autoassembly line in Alabama. The value of the standard shipment is$250,000. Monczka-Trent has two options: ( I) its standard 2-dayshipment or (2) a subcontractor who will team drive overnightwith an effective delivery of one day. The extra driver costs $175.Handfield's holding cost is 35% annually for this kind of inventory.a) Which option is more economical?b) What productio n issues a re not included in the datapresented?
The method for determining facility location which involves determining x and y co-ordinates of the proposed new location O a. Factor Rating Method O b. Locational Break-even Analysis O C. Transportation Method Od. Centroid Method
3. Figure 1 Daily Subway and Bus Use in Five Major Cities 0.75 0.5 0.25 Subway OBus London Tokyo Singapore Hong Kong Figure 2 Subway vs. Bus Ridership, New York City OBus Subway 1970 1980 1990 2000 2010 Information in figure I suggests that public transportation users in London Information in Figure I supports the author's point that buses are growing in popularity as a means of urban transport by indicating that A) take subways and buses at similar rates. B) are unusually reliant on buses. C) take at least one subway trip daily. D) take subways at about the same rate as people A) many people around the world take at least one bus trip every day. B) bus ridership surpasses subway ridership in some major cities. C) people in Tokyo make far more trips by bus daily than they do trips by subway. D) the number of bus trips taken by people in major cities has substantially increased. in New York. 2 Which of the following statements about bus use in New York City is best supported by…
On a daily basis, the Vampire Van is dispatched from Maplewood Hospital to pickup blood and platelet donations made at its local donation centers. The distances in miles between all locations may be found in Table.a. The Vampire Van travels from Maplewood Hospital (A) to (B) to (C) to (D) to (E) and then returns to the hospital (A). What is the total number of miles that the van must travel using this route?b. Using Maplewood Hospital as the beginning location, create a route using the NN heuristic. What is the total number of miles that the van must travel using this route?c. Using Valley Hills (E) as the beginning location, create a route using the NN heuristic. What is the total number of miles that the van must travel using this route?
The downtown Kingston and Saint Andrew Centre were built for $400 million JAD in 2010 (Reid, 2012). The Centre is owned by the Jamaican Urban Development Corporation (UDC) and was formerly managed and operated by the Kingston and Saint Andrew Municipal Corporation (KSAMC) (Reid, 2012). Built as a multipurpose bus and taxi part the centre’s main function was to alleviate traffic congestion in downtown Kingston, especially in the parade area. The centre has become dilapidated and unmanageable due to a lack of usage by transport operators, commuters, implementation, enforcement, and a failure to have an effective transportation policy (Teachdem. n.d.). “The transportation Centre, which was designed to restore order to the public transportation system in downtown Kingston has failed miserably as most commuters, bus and taxi operators have ignored the facility which detractors say was built in the middle of nowhere” (Radio Jamaica News (RJR), 2012, para. 2). Major concerns by commuters are…
LVTLS was set up as a local cargo company in 1960 by Mason Delp in pick-up and delivery for numerous intergovernmental trucking businesses in Pennsylvania's Greater Lehigh Valley. The difference between Alentown and Philadelphia has been shown to Mason by enhancing the Interstate Highway System, by upgrading the Pennsylvania Turnpike system, which provides the corridors North-South and East-West together with other improvements and roads. Furthermore, Philadelphia has a certain population, with e-road extensions and renovations which allow transit connectivity to numerous municipalities. Mason's remarks were right and the area has transformed from agricultural to the manufacturers of products and services.The creation of a series of pharmaceutical production facilities and an agglomeration of firms and services to serve the industry have all been very significant developments. • These firms' expansion and success offered Mason Delp the chance to expand its engine carrier service, both…
a. A farmers' cooperative association plans to build a new sugar mill in Georgetown. The primary objective of the mill is to provide the farmers with a place to take their crop for processing that will reduce their transportation costs. The members of the co-op believe that the center-of-gravity method is appropriate for this objective. While there are over 200 sugar cane farms in the region, they are tightly clustered around six villages. Using the data below, use the center-of-gravity method to calculate the coordinates of the best location for this mill. All mileage references use Browns Town as (0,0). Village Barney Valley Blue Pasture Congo Valley Bower Rabacca Salem Miles East of Miles North of Sugar Cane Browns Town Browns Town 90 140 20 50 100 10 10 60 70 20 80 120 tonnage 240,000 320,000 450,000 120,000 60,000 140,000
7. Novelis at Oswego NY supplies rolled aluminum sheets to Ford Motor's Kansas City plant to make F150 truck. The transportation manager of Novelis needs to choose from rail, waterway, and truck. The following information are gathered to make the transportation mode decision: Transportation Mode Transit Time, Days Rate $/cwt Shipment Size, cwt Rail 15 $2.50 12,000 Waterway 20 $0.80 200,000 4 $12.50 4,000 Truck The annual transportation volume is 2.5 million cwt. The value of aluminum is $500 per cwt. Inventory carrying cost for both companies is 20% per year. Please calculate the total logistics costs (transportation, inventory at Novelis, inventory at Ford, inventory in transit), and decide which transportation mode should be selected. (20 points)
A marketing manager of a pizza parlor propose a campaign to promote online sales in a town during the time of lockdown. It is proposed that customers be compensated with RM7 e-Voucher if delivery time is greater than 20 minutes for addresses located within four kilometers radius from the parlor with minimum order of RM40. The manager collected delivery time of 30 orders out of the total of 180 orders in the month of January of 2021 and found that the delivery time has mean of 15 minutes. In the past, the standard deviation of delivery time for the delivery staff has been found 3 minutes. Estimate at expected cost of late delivery per month.
Q3)) A firm has established a distribution network for the supply of a raw material critical to its manufacturing Currently there are three origins for this raw material, which must be shipped to three manufacturing plants. The current network has the following characteristics: Origin 1 Origin 2 Origin 3 DEMAND Plant 1 $7 $10 Plant 2 $5 $7 $8 45 Plant 3 $2 $3 SUPPLY 30 40 50 120/120 $3 $9 35 40 (a) Calculate a solution using the northwest-corner rule. Calculate the cost of this solution. (b) Calculate the solution using intuitive lowest cost method. Calculate the cost of this solution. (c) Using the solution in (c), calculate improvement indices, iterate once. Can you achieve a better solution? If yes, what is the cost of this solution?
Dennison Manufacturing makes large helical springs used inaircraft landing gear. The company has narrowed its potentialchoices for its new manufacturing facility to four cities. Thefollowing information is known about the manufacturing andshipping costs of locating in each of these four cities: a. Use break-even point analysis to determine where Den-nison should locate.b. Based solely on break-even quantity, if Dennison’s manu-facturing forecast for the foreseeable future is 40,000 unitsannually, where should he locate?