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Makel Companies Group is a group with Turkish net equity that has begun its activity in the sector of electrical supplies in year 1977 and
Makel Companies Group is a group with Turkish net equity that has begun its activity in the sector of electrical supplies in year 1977 and has shown the achievement ofaffixing its signature to many initials ever. Being one of the leading firms of the market in its sector, Makel, as the xport leader of the electrical materials sector of Turkey for long years, has been exporting the products it produces using the state technology to the countries of world exceeding 40 Makel Companies Group manufactures and distributes meters used to measure electric power consumption. The company started with a small production in istanbul and gradually built a customer base throughout Marmara region. A distribution center was established in Gebze, and later, as business expanded, a second distribution center was established in Bursa The Istanbul plant was expanded when the company began marketing its meters in the west part of Turkey. With the growth of the business, the MAKEL opened a third distribution center in Denizli and just two years ago opened a second production plant in Manisa Manufacturing costs differ between the company's production plants. The cost ofeach meter at the Istanbul plant is S10.50. The Manisa plant utilizes newer and more efficient equipment; sult, manufacturing costs are $0.50 per meter less than at istanbul plant Due to the company's rapid growth, not much attention had been paid to the efficiency of the distribution system, but MAKEL's management has decided that it is time to address the issue The cost of shipping a meter from each ofthe two plants to each ofthe three distribution centers is shown in Table 1 The quarterly production rate is 30,000 meters at the older istanbul plant and 20,000 meters at the Manisa plant. Note that no shipments are allowed from Manisa plant to Gebze distribution center. The company serves nine customer zones from the three distribution centers. The forecast of the number of meters needed in each customer zone for the next quarter is shown in Table 2 The cost of per unit shipping from each distribution center to each customer zone is given in Table 3. Note that some of the distribution centers cannot serve certain customer zone In the current distribution system, demand at the Bolu, Adapazari, Eskisehir, and Afyonkarahisar customer zones is satisfied by shipments from the Gebze distribution center. In similar manner, the Kutahya, Antalya, and Balikesir customer zones are served by the Bursa distribution center, and Aydin and izmir customer zones are served by the Denizli distribution center. To determine how many units to ship from each plant, the quarterly customer demand forecasts are aggregated at the distribution centers, and a transportation model is used to minimize the cost of shipping from the production plants to the distribution centers
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