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An online retailer of a single product has four major markets in the four "corners" (North-East, South-East, North-West and South-West) of a country. Assume that daily demand in each market is exactly 10 units. The retailer currently has a distribution center located in each of the corners to ensure that customer orders can be fulfilled quickly. The distribution center replenishes its inventory from the manufacturer at a unit cost of $3200 and a fixed ordering cost of $62500 per order. The cost of capital for this retailer is 0.2 $/$/year. There is now a proposal to consolidate the inventory of this firm at one central distribution center and to close the four regional distribution centers. Assume that sales will not be affected by the increased order fulfillment times caused by this change to the supply chain. How does the cost per unit (taking ordering costs and inventory holding costs also into account) change for this retailer by this supply chain change?
Name four methods of quantitative analysis that are useful in informing the facility location decision. How can each of the methods assist you in location decisions? Provide exampl
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Discuss the long-run consequences of your decision.
What would you recommend to the company if they asked you to advise them in improving their operations?
Medical Solutions, Inc. has the following claims it must complete in the next week (40 hours). The jobs are as follows: Claim Type Number of Claims to Process Setup (Changeover) Ti
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