Problem 1

The Dynaco Manufacturing Company is going to build a

new plant to manufacture ring bearings (used in
automobiles and trucks). The site selection team is
evaluating three sites, and they have scored the
important factors for each as follows. They want to use
these ratings to compare the locations. What do you
conclude?

Problem 2

State University is going to construct a new student

center and athletic complex that will include a
bookstore, post office, theaters, market, mini-mall,
meeting rooms, swimming pool, and weight and
exercise rooms. The university administration has hired a
site selection specialist to identify the best potential sites
on campus for the new facility. The site specialist has
identified four sites on campus and has rated the
important location factors for each site as shown in the
Table. Recommend the best location.

Problem 3

The administration at State University wants to

construct a new student athletic, shopping, and
dining complex on campus. The university planning
office is considering possible sites around the
campus. They have studied a number of factors
related to the location of the complex and they have
scored the most important ones for each site as in
the Table. Identify the best location.
 Problem 4

A location analysis for Cook Controls, a small manufacturer of parts

for high-technology cable systems, has been narrowed down to four
locations. Cook will need to train assemblers, testers, and robotics
maintainers in local training centers.
Lori Cook, the president, has asked each potential site to offer training
programs, tax breaks, and other industrial incentives. The critical
factors, their weights, and the ratings for each location are shown in
the following table. High scores represent favorable values.
a) Compute the composite (weighted average) rating for each
location.
b) Which site would you choose?
c) Would you reach the same conclusion if the weights for operating
cost and labor cost were reversed? Recompute as necessary and
explain.

Problem 5

Pan American Refineries, headquartered in Houston, must decide

among three sitesfor the construction of new oil processing center.
The firm has selected the six factors listed below as a basis for
evaluation and has assigned rating weights from 1 to 5 on each
factor. The site expert has rated each location for each factor on a 1-
to-100 points basis.
1) Whcih site will be recommended based on total weighted scores?
2) If location B's score for "Proxiity to port facilities" was reset at 90,
how would the result change?
evaluation and has assigned rating weights from 1 to 5 on each
factor. The site expert has rated each location for each factor on a 1-
to-100 points basis.
1) Whcih site will be recommended based on total weighted scores?
2) If location B's score for "Proxiity to port facilities" was reset at 90,
how would the result change?

Problem 6
An electronics manufacturer is considering a
second facility. The search is narrowed to four
locations, all of which are acceptable to
management in terms of dominant factors.
Assessment of these sites in terms of seven
location factors is shown in Table 1. Calculate
the weighted score for each location. Which
location should be recommended?
 Location

Location factor Weight City 1 City 2 City 3

Labor pool and climate 0.30 80 65 90
Proximity to suppliers 0.20 100 90 75
Wages 0.15 60 95 75
Environment 0.15 75 80 80
Proximity to customers 0.10 65 90 95
Shipping rates 0.05 85 90 65
Air service 0.05 50 65 90
Weighted score 77.5 80.5 82.5
Location selected City 3 max is city 3 hence it is choosed
77.5 80.5 82.5

Location
Location factor Weight South West A West B
Proximity to housing 0.23 70 90 65
Student traffic 0.22 75 80 60
Parking availability 0.16 90 60 80
Plot size, terrain 0.12 80 70 90
Infrastructure 0.10 50 60 40
Off-campus accessibility 0.06 90 70 70
Proximity to dining 0.05 60 80 70
Visitor traffic 0.04 70 80 65
Landscape/aesthetics 0.02 50 40 60
Weighted score 73.8 74.5 67.25
Location selected West A max is westA hence it is choosed

Score (0 to 100)
Location Weight Site 1 Site 2 Site 3
1. Auto traffic flow 0.25 70 75 84

2. Student/dorm concentration 0.20 65 91 85

3. Parking availability 0.15 100 83 90

4. Utilities 0.15 87 96 80

5. Proximity to local merchants 0.10 69 85 80

6. Drainage 0.10 50 68 92
7. Aesthetic considerations 0.05 86 100 95
Weighted score 74.75 84.1 85.45
 Locattion selected Site 3 site 3 is max hence it is choosed

Location
Akron Bilgrade Carthage
Factor Weight OH MS TX
Labor availability 0.15 90 80 90
Technical School Quality 0.10 95 75 65
Operating cost 0.30 80 85 95
Land and construction cost 0.15 60 80 90
Industrial incentives 0.20 90 75 85
Labor cost 0.10 75 80 85
Weighted score 81.5 80 87.5
Location selected Carthage since Carthage has max it is choosed

Location
Akron Bilgrade Carthage
Factor Weight OH MS TX
Labor availability 0.15 90 80 90
Technical School Quality 0.10 95 75 65
Operating cost 0.10 80 85 95
Land and construction cost 0.15 60 80 90
Industrial incentives 0.20 90 75 85
Labor cost 0.30 75 80 85
Weighted score 80.5 79 85.5
Location selected

Name Rating Weight Location A Location B Location C

Proximity to port facilities 5 100 80 80
Power-source availability and cost 3 80 70 100
Workforce attitude and cost 4 30 60 70
Distance from Houston 2 10 80 60
Community desirability 2 90 60 80
Equipment suppliers in area 4 50 60 90
 Weighted score 1260 1370 1620
Location selected Location C

Name Rating Weight Location A Location B Location C

Proximity to port facilities 5 100 90 80
Power-source availability and cost 3 80 70 100
Workforce attitude and cost 4 30 60 70
Distance from Houston 2 10 80 60
Community desirability 2 90 60 80
Equipment suppliers in area 4 50 60 90
Weighted score 1260 1420 1620
Location selected Location C even the Proximity to port facilities was reset t

Location
Location factor Weight A B C
Labor climate 20 5 4 4
Quality of life 16 2 3 4
Transportation system 16 3 4 3
Proximity to markets 14 5 3 4
Material availability 12 2 3 3
Tax structure 12 2 5 5
Utilities 10 5 4 3
Weighted score 348 370 374
Location selected C
 East
80
85
70
65
60
70
80
55
70
73.9

00)
Site 4
68

96

92
85

95

77
80
83.95
 Denver
CO
80
85
85
70
60
75
76
is choosed

Denver
CO
80
85
85
70
60
75
74
to port facilities was reset to 90 for section B, its weighted score is less than Location C

D
5
1
2
4
4
4
3
330