Figures 5-9 to 5-12
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Table 5-3 HighOptic Inputs - Costs, Capacities, Demands (HighOptic) Fixed Supply City Atlanta Boston Chicago Denver Omaha Portland Cost ($) Baltimore 1,675 400 685 1,630 1,160 2,800 7,650 Cheyenne 1,460 1,940 970 100 495 1,200 3,500 Salt Lake 1,925 2,400 1,425 500 950 800 5,000 Memphis 380 1,355 543 1,045 665 2,321 4,100 Wichita 922 1,646 700 508 311 1,797 2,200 Demand 10 8 14 6 7 11 Decision Variables Demand City - Production Allocation (1000 Units) Plants Supply City Atlanta Boston Chicago Denver Omaha Portland (1=open) Baltimore 0 0 0 0 0 0 Cheyenne 0 0 0 6 7 0 1 Salt Lake 0 0 0 0 0 11 1 Memphis 0 0 0 0 0 0 Wichita 0 0 0 0 0 0 Constraints Supply City Excess Capacity Baltimore 18 Cheyenne 11 Salt Lake 16 Memphis 22 Wichita 31 Atlanta Boston Chicago Denver Omaha Portland Unmet Demand 10 8 14 0 0 0 Objective Function Cost = $ 21,365 Demand City Production and Transportation Cost per 1000 Units Optimal Demand Allocation for HighOptic (part of Table 5-3) 1. Using Data | Analysis | Solver, solve the demand allocati problem for HighOptic
Transcript of Figures 5-9 to 5-12
Supply Chain Management - 6th Edition
Table 5-3 HighOpticInputs - Costs, Capacities, Demands (HighOptic)Demand CityProduction and Transportation Cost per 1000 UnitsFixed Capa-Supply CityAtlantaBostonChicagoDenverOmahaPortlandCost ($)cityBaltimore1,6754006851,6301,1602,8007,65018Cheyenne1,4601,9409701004951,2003,50024Salt Lake1,9252,4001,4255009508005,00027Memphis3801,3555431,0456652,3214,10022Wichita9221,6467005083111,7972,20031Demand108146711
Decision VariablesDemand City - Production Allocation (1000 Units)PlantsSupply CityAtlantaBostonChicagoDenverOmahaPortland(1=open)Baltimore000000Cheyenne0006701Salt Lake00000111Memphis000000Wichita000000
ConstraintsSupply CityExcess CapacityBaltimore18Cheyenne11Salt Lake16Memphis22Wichita31
AtlantaBostonChicagoDenverOmahaPortlandUnmet Demand10814000
Objective FunctionCost =$21,365
&A
Optimal Demand Allocation for HighOptic (part of Table 5-3)1. Using Data | Analysis | Solver, solve the demand allocationproblem for HighOptic
Table 5-3 TelecomOneInputs - Costs, Capacities, Demands (TelecomOne)Demand CityProduction and Transportation Cost per 1000 UnitsFixed Capa-Supply CityAtlantaBostonChicagoDenverOmahaPortlandCost ($)cityBaltimore1,6754006851,6301,1602,8007,65018Cheyenne1,4601,9409701004951,2003,50024Salt Lake1,9252,4001,4255009508005,00027Memphis3801,3555431,0456652,3214,10022Wichita9221,6467005083111,7972,20031Demand108146711
Decision VariablesDemand City - Production Allocation (1000 Units)PlantsSupply CityAtlantaBostonChicagoDenverOmahaPortland(1=open)Baltimore0820001Cheyenne0000000Salt Lake0000000Memphis100120001Wichita0000001
ConstraintsSupply CityExcess CapacityBaltimore8Cheyenne24Salt Lake27Memphis0Wichita31
AtlantaBostonChicagoDenverOmahaPortlandUnmet Demand0006711
Objective FunctionCost =$28,836
&A
Optimal Demand Allocation for TelecomOne (part of Table 5-3)1. Using Data | Analysis | Solver, solve the demand allocationproblem for HighOptic
Merged Network with All Plants Inputs - Costs, Capacities, Demands (for TelecomOptic)Demand CityProduction and Transportation Cost per 1000 UnitsFixed Supply CityAtlantaBostonChicagoDenverOmahaPortlandCost ($)CapacityBaltimore1,6754006851,6301,1602,8007,65018Cheyenne1,4601,9409701004951,2003,50024Salt Lake1,9252,4001,4255009508005,00027Memphis3801,3555431,0456652,3214,10022Wichita9221,6467005083111,7972,20031Demand108146711
Decision VariablesDemand City - Production Allocation (1000 Units)PlantsSupply CityAtlantaBostonChicagoDenverOmahaPortland(1=open)Baltimore0820001Cheyenne0006001Salt Lake00000111Memphis100120001Wichita0000701
ConstraintsSupply CityExcess CapacityBaltimore8 Total Available Capacity122Cheyenne18Salt Lake16Memphis0Wichita24
AtlantaBostonChicagoDenverOmahaPortlandUnmet Demand000000
Objective FunctionCost =$48,913
&A
Evaluating the Merged Network with All Plants openIn this worksheet we evaluate the performance of the merged networkif all plants are kept open. To do so solve the model using Solver.
The reduction in total cost relative to the sum of the costs of the independentnetworks (from the previous two worksheets) represents the synergiesobtained simply be reallocating demand in the merged network.
Figure 5-12Inputs - Costs, Capacities, Demands (for TelecomOptic)Demand CityProduction and Transportation Cost per 1000 UnitsFixed Supply CityAtlantaBostonChicagoDenverOmahaPortlandCost ($)CapacityBaltimore1,6754006851,6301,1602,8007,65018Cheyenne1,4601,9409701004951,2003,50024Salt Lake1,9252,4001,4255009508005,00027Memphis3801,3555431,0456652,3214,10022Wichita9221,6467005083111,7972,20031Demand108146711
Decision VariablesDemand City - Production Allocation (1000 Units)PlantsSupply CityAtlantaBostonChicagoDenverOmahaPortland(1=open)Baltimore0820001Cheyenne00067111Salt Lake0000000Memphis100120001Wichita0000000
ConstraintsSupply CityExcess CapacityBaltimore8Cheyenne0Salt Lake-0Memphis0Wichita-0
AtlantaBostonChicagoDenverOmahaPortlandUnmet Demand000000
Objective FunctionCost =$47,401
&A
Building Figure 5-12Using Data | Analysis | Solver, solve the model to obtain Figure 5-12.Observe that the plants in Wichita and Salt lake are shut to further lower cost relativeto keeping all plants open.
Table 5-4 Single SourcingInputs - Costs, Capacities, Demands (Table 11.4 for TelecomOptic)Demand CityProduction and Transportation Cost per 1000 UnitsFixed Supply CityAtlantaBostonChicagoDenverOmahaPortlandCost ($)CapacityBaltimore1,6754006851,6301,1602,8007,65018Cheyenne1,4601,9409701004951,2003,50024Salt Lake1,9252,4001,4255009508005,00027Memphis3801,3555431,0456652,3214,10022Wichita9221,6467005083111,7972,20031Demand108146711
Decision VariablesDemand City Supplied (1 indicates Cities Supplied)PlantsSupply CityAtlantaBostonChicagoDenverOmahaPortland(1=open)Baltimore0000000Cheyenne0000000Salt Lake0001011Memphis1100001Wichita0010101
Resulting Production AllocationDemand City - Production Allocation (1000 Units)Supply CityAtlantaBostonChicagoDenverOmahaPortlandBaltimore000000Cheyenne000000Salt Lake0006011Memphis1080000Wichita0014070
ConstraintsSupply CityExcess CapacityBaltimore0Cheyenne0Salt Lake10Memphis4Wichita10
AtlantaBostonChicagoDenverOmahaPortlandDemand111111
Objective FunctionCost =$49,717
&A
Building Table 5-4Using Data | Analysis | Solver, solve the model to obtain Table 5-4.Compare with Figure 5-12 to see the additional cost of single sourcing.
