In: Operations Management
The table below provides the grid coordinates and the estimated demand for a set of cities that your company wishes to connect through a centrally located distribution center. Where would you locate the new facility?
Candidate |
Grid Coordinates |
Grid Coordinates |
Estimated |
City |
(X) |
(Y) |
Demand |
A |
70 |
30 |
200 |
B |
20 |
40 |
300 |
C |
40 |
60 |
50 |
Determine the approximate coordinates of the distribution center.
|
Based on the given data, we find the X and Y coordinate of the location of the distribution center using Center of gravity method as shown below:
The above solution in the form of formulas is shown below for better understanding and reference:
As seen from above,
Answer = 40, 38
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