Chapter: 8 (Location Strategies)

8.6 Problem

Solution:

A)

Now, let us identify the given table in the problem.

Factor Weight Mobile Jackson

Incentive 0.4 80 60

Player satisfaction 0.3 20 50

Sports interest 0.2 40 90

Size of city 0.1 70 30

let us compute the weighted score of each factor of the two (2) sites using the formula below:

Weighted score =Weight of each factor × Score of each factor

Let us now present the values obtained using the formula from Step 4 and by substituting the
values from Step 3.

For instance, for incentive and mobile, we have

Weighted score = 0.40×80 = 32

Factor Mobile Jackson

Incentive 32 24

Player satisfaction 6 15

Sports interest 8 18

Size of city 7 3
Since we have already obtained the weighted score for each factor, let us now obtain the sum of
scores for each site using the formula below.

Total score = score of each factor

let us summarize the total scores,

Site Total Score

Mobile 53

Jackson 60

To conclude, Ken Gilbert should choose Jackson given that it has the highest score of 60.

Let us present the table if Jackson will raise its incentive package to 75.

Factor Weight Mobile Jackson

Incentive 0.4 80 75

Player satisfaction 0.3 20 50

Sports interest 0.2 40 90

Size of city 0.1 70 30

let us compute the weighted score of each factor of the two (2) sites using the formula below:
Weighted score =Weight of each factor × Score of each factor

Let us now present the values obtained using the formula from Step 4 and by substituting the
values from Step 3.

For instance, for incentive and mobile, we have

Weighted score = 0.40×75 = 30

Thus, if Jackson raises its incentive package to 75, the resulting weighted score is 30.

Then, let us present again the weighted scores obtained in Exercise 6a while considering
the changes in Jackson's weighted score in the Incentive factor computed,

Factor Mobile Jackson

Incentive 32 30

Player satisfaction 6 15

Sports interest 8 18

Size of city 7 3

Since we have already obtained the weighted score for each factor, let us now obtain the sum of
scores for each site using the formula below.

Total score = score of each factor

Then, let us summarize the total score of Mobile obtained in Exercise 6a and the total score of
Jackson,

Site Total Score

Mobile 53

Jackson 66

In conclusion, the decision of Ken Gilbert to choose site Jackson will not change because it
still has the highest total score given that its score on the Incentive Package was raised to 75.
 Factor Weight Scores Scores Scores
(LOCATION A) (LOCATION B) (LOCATION C)
Proximity to port 5 100 80 80
facilities
Power-source 3 80 70 100
availability and cost
Workforce attitude 4 30 60 70
and cost
Distance from 2 10 80 60
Houston
Community 2 90 60 80
desirability
Equipment 3 50 60 90
suppliers in the area

Let us first compute the total weighted scores for the LOCATION A using the formula in step
3 and the data in the previous step.

Factor Weight Scores Computation (Weight Weighted

(LOCATION A) ×Score) scores
Proximity to port 5 100 5×100 500
facilities
Power-source 3 80 3×80 240
availability and
cost
Workforce attitude 4 30 4×30 120
and cost
Distance from 2 10 2×10 20
Houston
Community 2 90 2×90 180
desirability
Equipment 3 50 3×50 150
suppliers in area
(Weighted scores) 1,210

The total weighted scores of LOCATION A is 1,210

Next, let us compute the total weighted scores for the LOCATION B.

Factor Weight Scores Computation (Weight Weighted

(LOCATION B) × Score) scores
Proximity to port 5 80 5×805×80 400
facilities
Power-source 3 70 3×70 210
availability and cost
Workforce attitude 4 60 4×60 240
and cost
Distance from 2 80 2×80 160
Houston
Community 2 60 2×60 120
desirability
Equipment suppliers 3 60 3×60 180
in area
(Weighted scores) 1,310

The total weighted scores of LOCATION B is 1,310

Finally, the total weighted scores for the LOCATION C is computed as follows:

Factor Weight Scores Computation (Weight Weighted

(LOCATION C) × Score) scores
Proximity to port 5 80 5×80 400
facilities
Power-source 3 100 3×100 300
availability and cost
Workforce attitude 4 70 4×70 280
and cost
Distance from 2 60 2×60 120
Houston
Community 2 80 2×80 160
desirability
Equipment suppliers 3 90 3×90 270
in area
(Weighted scores) 1,530

The total weighted scores of LOCATION C is 1,530

To conclude, the LOCATION C has the highest total weighted score of 1,530.
Therefore, LOCATION C is the recommended site based on the total weighted scores.
Solution:
B) Following the same given factor from exercise 10a, let us present the table if the
Location's B score on the Proximity factor is raised to 90.

Factor Weight Location A Location B Location C

1 5 100 90 80
2 3 80 70 100
3 4 30 60 70
4 2 10 80 60
5 2 90 60 80
6 3 50 60 90

Next, let us compute the weighted score of Location B on the proximity factor using the
formula below.
Weighted score=Weight of factor×Location Score on Proximity
Let us now substitute the corresponding values,
Weighted score location B = 5×90=450

Thus, if Location B raises the score for Proximity to 40, the resulting weighted score is 450.
Then, let us present again the weighted scores obtained in Exercise 10a while considering the
changes in Location B's weighted score on Proximity obtained,

Factor Location A Location B Location C

1 500 450 400
2 240 210 300
3 120 240 280
4 20 160 120
5 180 120 160
6 150 180 270

Since we have already obtained Location B's weighted score on the Proximity factor, let us
now re-calculate the sum of the scores of Location B using the formula below.
Total score score of each factor

Let us now substitute the corresponding values,

Total score Location
B = 450+210+240+160+120+180=1,360
Thus, the total score of Location B is 1,360, if the score is raised to 90.
Then, let us summarize the total score of Locations A and C obtained in Exercise 10a and
the total score of Location B,

Location Total score

Location A 1,210

Location B 1,360

Location C 1,530

To conclude, the decision to choose Location C will not change because it has still the highest
total score even if Location B's core on the Proximity factor was raised to 90.

C)
 A)

Let us now substitute the corresponding values,

The crossover point between Site A and Site B is computed as follows:

10,000,000+2,500(x) = 20,000,000+2,000(x)

10,000,000+2,500x = 20,000,000+2,000x

2,500x 2,000x = 20,000,000 10,000,000

Now, let us identify the given values in the problem.

City Map Coordinate Shipping Load

A (5, 10) 5
B (6, 8) 10
C (4, 9) 15
D (9, 5) 5
E (7, 9) 15
F (3, 2) 10
G (2, 6) 5

Then, let us now present the formulas for the computation of the center of gravity.

a. x-coordinate of the center of gravity

x-coordinate xiQi Qi

b. y-coordinate of the center of gravity

x-coordinate yiQi /

Where:

xi = x-coordinate of location i
yi= x-coordinate of location i
Qi = Quantity of goods moved to or from location i

Let us now substitute the corresponding values,

a. x-coordinate of the center of gravity

x = (5×5) +(6×10) +(4×15) +(9×5) +(7×15) +(3×10) +(2×5)/5+10+15+5+15+10+5

=25+60+60+45+105+30+10/65
=335/65

=5.15

Finally, let us summarize the values obtained,

Coordinate Value

X 5.15

Y 7.31

To conclude, the hub must be located near map coordinates (5.15, 7.31)
 A) To start with, let us recall the given values in the problem.

City Map Coordinate Shipping Load

A (5, 10) 5
B (6, 8) 10
C (4, 9) 15
D (9, 5) 5
E (7, 9) 15
F (3, 2) 10
G (2, 6) 5

Now, if the shipment from City A triples, the resulting value of the shipping load will be
computed as follows:

SHIPPING LOAD CITY A= CURRENT SHIPPING LOAD×3=5×3=15

Thus, the Shipping Load for City A is 15.

a. x-coordinate of the center of gravity

x= (5×15) +(6×10) +(4×15) +(9×5) +(7×15) +(3×10) +(2×5)/15+10+15+5+15+10+5
=75+60+60+45+105+30+10/75
=385/75=5.13

b. y-coordinate of the center of gravity

y= (10×15) +(8×10) +(9×15) +(5×5) +(9×15) +(2×10) +(6×5)/15+10+15+5+15+10+5
=150+80+135+25+135+20+30/75
=575/75=7.67

Finally, let us summarize the values obtained,

Coordinate Value
X 5.13
Y 7.67

To conclude, the hub must be located near map coordinates (5.13, 7.67) if the shipment
from City A triples.
The center of gravity is determined using the x-coordinate and y-coordinate of the center of
gravity which is computed using the formula:

x-coordinate= Qi/ xiQi

y-coordinate= Qi/ yiQi /

Where:

xi = x - coordinate of location i
yi = y -coordinate of location i
Qi = Quantity of goods moved to or from location i

Let us first identify the given data in the problem.

Location Map Coordinate (X,Y) Number of student

North Park 4, 11 500

Jefferson 5, 2 300

Lincoln 8, 2 300

Washington 11, 6 200

i i/ i
 i i

1.
2.
3.
4.
5.
6.
7.
Minimum number of workstations = Total task time /Cycle time

=60 seconds/20 seconds = 3

Hence, the minimum number of workstations is 3.

C)

Based on the results of parts a) and b), we know that the cycle time is 20 seconds and that the
theoretical minimum number of workstations is 3. To determine whether or not this theoretical
minimum can be reached, let's look at the given table once more.

Task Time (sec) Immediate predecessors

A 12 -
B 15 A
C 8 A
D 5 B, C
E 202 D
Considering that the performance time of A and C add up to exactly 20 seconds, and C only
requires A to be completed, they can be assigned to the same workstation. Tasks B and D also add
up to 20 seconds and can be assigned to the next workstation due to D only requiring the
completion of B and D. Task E would be assigned to the last workstation since its performance
time is also 20 seconds.

Hence, a theoretical minimum of 3 workstations can be achieved by assigning tasks A and C to

the first workstations, tasks B and D to the second, and task E to the third workstation.

In summary, the theoretical minimum can be assigning A and C to the first, B and D to the second,
and E to the third workstation.
9.14 Problem

Solution:

A) Total task time=A+B+C+D+E+F

=10+12+8+6+6+6 =48 minutes

Therefore, the total task time is 48 minutes. Next, we will find the cycle time of this operation by
dividing the production time available by the number of units that need to be produced during it.
Since the goal is to produce 5 poppers per hour (60 minutes), it follows that

Cycle time =60 minutes /5 units =12 minutes/unit.

Thus, the cycle time is 12 minutes.

Now, by dividing the total task time by the cycle time we can find the theoretical minimum
number of workstations that Helms can achieve.

Minimum number of work stations=Total task time/Cycle time

= 48 minutes/12 minutes = 4

Hence, the minimum number of workstations is 4.

In summary, by dividing the total task time by the cycle time we concluded that the
theoretical minimum number of workstations that Helms can achieve is 4.
B) In this problem, we are tasked to graph the assembly line and assign workers to workstations.

Let us graph the assembly line using the data in the problem, and assign tasks to the workstation.

Note: The sum of task times in every workstation should not exceed the cycle time of 12
minutes.

To conclude, the tasks can be assigned to 5 working stations which exceeds the theoretical
minimum of 4 stations.

Therefore, the tasks could not be assigned with the theoretical minimum.

C) The efficiency of an assignment can be found as the ratio of the total task time and the product
of the actual number of workstations and the largest assigned cycle time.

Efficiency = Total task time actual number of workstations × Largest assigned cycle

Based on the result of part b), we know that the actual number of workstations is 5 and that the
largest assigned cycle time is that of the second workstation that is assigned task B, which
is 12 minutes. As we calculated in part a), the total task time is 48 minutes.

By substituting these values into the previous formula, we can find the efficiency.

Efficiency =48 minutes/5×12 minutes

= 48 minutes/60 minutes =80%

Hence, the efficiency of this assignment is 80%.

In summary, by dividing the total task time by the product of the actual number of workstations
and the largest assigned cycle time, we were able to calculate the efficiency of this assignment,
which is 80%.