Question
Tolkien Transport is currently based in Leeds but has plans to expand its operations by setting up another depot in the south of England. The
Tolkien Transport is currently based in Leeds but has plans to expand its operations by setting up another depot in the south of England. The management team has identified four possible locations for the depot and these are listed in the decision matrix below. As a first step they have decided to use a multi-criteria analysis (MCA) to rank the options. After much discussion, the team have decided on three key criteria (Cost, Accessibility and Environmental Impact) against which to judge the options and have agreed on the ratings shown in the matrix, below (running from 4 for the best to 1 for worst under each criterion). The criteria have been weighted as follows: Cost (0.45), Accessibility (0.35) and Environmental Impact (0.2). Option Cost Accessibility Environmental Impact Bristol 4 2 1 Reading 3 3 N Swindon 1 4 3 Chelmsford 2 1 4 Required: a) Given the information above, which location would you advise Tolkien Transport to choose? Show your workings. (7 marks) b) Explain to Tolkien Transport the limitations of a multi-criteria analysis for a decision problem of this kind. (3 marks) (Total: 10 marks) - please explain answer
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