Optico manufactures telecommunication equipment. The company has 3 factories and serves 6 markets. Operations management team of
Question:
Optico manufactures telecommunication equipment. The company has 3 factories and serves 6 markets. Operations management team of the company is assigned to study the network and identify the plants to be shut down. The problem is to select the optimal location and capacity allocation of the distribution network while maximizing the profit. The team decides to follow a policy under which each market is supplied from only one factory. Tables below summarize the data of the company.
Transportation cost per thousand units:
Cost and capacity info of factories
Data for market points:
Define sets
b) Define parameters
c) Define decision variables
d) Write the mathematical model and explain each constraint.
Auditing Cases An Interactive Learning Approach
ISBN: 9780134421827
7th Edition
Authors: Mark S Beasley, Frank A. Buckless, Steven M. Glover, Douglas F Prawitt