The holding company, Pettibone LLC, that owns Pettibone is very interested in your problem solving techniques learned in Quantitative Problem Solving. Your manager has asked to you write a 1 to 2 page double spaced paper outlining some of the tools and techniques they could use to answer their business problems. Research Pettibone LLC's other companies (www.pettibonellc.com/) and give 2 specific examples of how concepts covered in this class would apply to another one of their businesses. (not examples covered in this exam.) Make sure to note how these examples would impact their financial performance (costs, profits, etc.)
Tools and techniques that can be used to answer the business problems:
(i) Transportation Model:
The transportation model is a special class of linear programs that deals with shipping company goods from source to its destination. The main objective of this model is to set such a shipping schedule that minimize the total shipping cost and at the same time satisfy the demand and supply limits.
(ii) Inventory Model:
This model talks about determining the level of commodity that need to be maintain by the business to ensure smooth operation. The inventory model mainly deals with how much to order and when to order. It is used to minimize the total inventory cost by arranging inventory in such an order that gives an optimal ...
This solution answer the model used for operation research.