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Donna Rodriguez has found an existing facility from a third-party logistics provider that Sweet Balance could use as an alternative to building a new consolidation
Donna Rodriguez has found an existing facility from a third-party logistics provider that Sweet Balance could use as an alternative to building a new consolidation hub. Thus, she wants to analyze if this existing facility would reduce the total transportation cost when used as a consolidation hub. She has gathered the following data for her analysis: Table 6: Distances from Hub to Factories and RDCs (in km) Hub Factory 1 30 Factory 2 50 RDC 1 100 RDC 2 120 RDC 3 15 RDC 4 6 The transportation cost of shipping from each factory remains the same (see Table 4). In this case, it would be the cost of shipping from the factories to the consolidation hub
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