Daniel Tracy, owner of Martin Manufacturing, must expand by building a new factory. The search for a
Question:
Daniel Tracy, owner of Martin Manufacturing, must expand by building a new factory. The search for a location for this factory has been narrowed to four sites: A, B, C, or D. The follow- ing table shows the results thus far obtained by Tracy by using the factor-rating method to analyze the problem. The scale used for each factor scoring is 1 through 5.
Site Scores Factor Weight A B C D Quality of labor 10 5 4 4 5 Construction cost 8 2 3 4 1 Transportation costs .8 3 4 3 2 Proximity to markets 7 5 3 4 4 Taxes 6 2 3 3 Weather 6 2 5 Energy costs 5 5 4 353 5 3 443 4 3
a) Which site should Tracy choose?
b) If site D's score for Energy costs increases from a 3 to a 5, do results change?
c) If site A's Weather score is adjusted to a 4, what is the impact? What should Tracy do at this point? P
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