In: Operations Management
The Johnny Ho Manufacturing Company in Columbus, Ohio, is putting out four new electronic components. Each of Ho's four plants has the capacity to add one more product to its current line of electronic parts. The unit-manufacturing costs for producing the different parts at the four plants are shown in the accompanying table. Plant Component 1 2 3 4 C53 0.13 0.09 0.16 0.14 C81 0.07 0.03 0.04 0.05 D5 0.30 0.44 0.36 0.34 D44 0.18 0.15 0.16 0.17 The optimal assignment of plants to components that minimizes the cost is:
Plant 1 right arrow? _________
Plant 2 right arrow? _________
Plant 3 right arrow? _________
Plant 4 right arrow? _________
The cumulative cost of the optimal assignment of plants to components = ________ dollars (round your response to two decimal places).
Using Solver:
Minimize =SUMPRODUCT(C2:F5,C8:F11)
Constraints:
C53: SUM(C2:F2) = 1
C81: SUM(C3:F3) = 1
D5: SUM(C4:F4)= 1
D44: SUM(C5:F5) = 1
A: SUM(C2:C5) = 1
B: SUM(D2:D5) = 1
C: SUM(E2:E5) = 1
D: SUM(F2:F5) = 1
On Solving:
C53 = Plant 2
C81 = Plant 4
D5 = Plant 1
D44 = Plant 3
Total cumulative cost = 0.60