Supply Chain Modelling and Design Case Study Help
Supply Chain Modelling and Design
Assessment Name: Case Study
Length: There is no word limit for this assessment. You should focus on providing correct answers.
Feedback Mode: Rubric
Details: You are required to work on a given case study.
Report include: Executive summary, Introduction, Problem Formulation, Problem Solving, Discussion, Recommendation
You must submit:
- A Word file to explain your mathematical models, to report your answers, and to write recommendations for decision makers based on the solutions; and
- An Excel file to demonstrate how you use Solver to identify the solutions. You must ensure that the file is in a workable condition before the submission. Each model must be implemented in a separate spreadsheet in the same file.
SCMD: Assignment 1
The company produces a potato product at three plants, which can be delivered directly to
the two customers or it can first be shipped to the two warehouses and then to the
customers. Shipments between plants are allowed. This also applies to between
warehouses and between customers.
The cost of producing the potato product is the same at each plant; as a result, the company
is only concerned with minimising the total shipping cost incurred in meeting customer
demands. The production capacity of each plant (in tons per year) and the customer
demand are summarised in the table below:
Plant Capacity Customer Demand
Plant 1 200 Customer 1 500
Plant 2 200 Customer 2 220
Plant 3 350
The cost (in thousands of dollars) of shipping a ton of the product between each pair of
locations is listed in the table below where a blank indicates that the company cannot ship
on that route:
From node To node
Plant 1 Plant 2 Plant 3 Warehouse 1 Warehouse 2 Customer 1 Customer 2
Plant 1 6 4 6 6 21 21
Plant 2 10 10 2 2 9 16
Plant 3 1.4 9 2 1.5 11 13
Warehouse 1 2.2 3 13
Warehouse 2 1.8 3 13
Customer 1 2
Customer 2 8
The road regulation does not allow truck to load more than 200 tons of the product
between any two nodes. The company wants to determine a minimum-cost shipping
strategy.
