Firestone Tire Company Case Study using Grid method
Not what you're looking for?
Please see case study "Fireside Tire Company" ( file attached) and answer the following Case Questions (file attached).
1. Base on the available information, is Atlanta the best location for a distribution center to serve the southeastern region? If not, what would you recommend?
2. The Fireside transportation department projects a 25% rate increase in 2013 from all of its transportation providers. How will this affect the southeastern location?
3. Marketing anticipates that the Raleigh/Durham market will grow by 3,000 cwt in 2014, and that Fireside will serve the growth from Allentown. How will this affect Atlanta as a location?
Please show any applicable computation work and cite outside sources. I have also included an examples of the grid method from the textbook please ensure the format is similar in the response(s).
Purchase this Solution
Solution Summary
An Excel file and explanation of the calculations involved in the Firestone Tire Company Case Study using the Grid method is provided.
Solution Preview
1) There are a few calculations that are needed to find the center, but which are not shown in the example file you provided. I will go over these calculations first.
a) The problem does not specify the Rate/CWT for transporting FROM Atlanta, so we will make an assumption using the information given.
The Total CWT FROM Atlanta was 2,700 + 3,500 + ... + 2,2200 = 31,000
This means a total weight of 31,000 CWT was transported FROM Atlanta. A shortcut is to notice that the weight going into Atlanta should be equal to the weight coming from Atlanta, so you could just add the weight going into Atlanta, and find it to be 31,000 CWT, and equate that to the weight FROM Atlanta.
The total freight expenditures FROM Atlanta were given to be $217,000.
So, the average Rate /CWT = $217,000/31,000 = $7.
The rate/CWT for transporting from any location FROM Atlanta is assumed to be $7. Note where $7 has been entered in the attached ...
Education
- MSc, California State Polytechnic University, Pomona
- MBA, University of California, Riverside
- BSc, California State Polytechnic University, Pomona
- BSc, California State Polytechnic University, Pomona
Recent Feedback
- "Excellent work. Well explained."
- "Can you kindly take a look at 647530 and 647531. Thanks"
- "Thank you so very much. This is very well done and presented. I certainly appreciate your hard work. I am a novice at statistics and it is nice to know there are those out there who really do understand. Thanks again for an excellent posting. SPJ"
- "GREAT JOB!!!"
- "Hello, thank you for your answer for my probability question. However, I think you interpreted the second and third question differently than was meant, as the assumption still stands that a person still independently ranks the n options first. The probability I am after is the probability that this independently determined ranking then is equal to one of the p fixed rankings. Similarly for the third question, where the x people choose their ranking independently, and then I want the probability that for x people this is equal to one particular ranking. I was wondering if you could help me with this. "
Purchase this Solution
Free BrainMass Quizzes
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Operations Management
This quiz tests a student's knowledge about Operations Management
Introduction to Finance
This quiz test introductory finance topics.
Business Processes
This quiz is intended to help business students better understand business processes, including those related to manufacturing and marketing. The questions focus on terms used to describe business processes and marketing activities.
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)