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In: Operations Management

A   production   company   plans   to   build   a   new   warehouse   in   order   to   supply   its   new &nb

A   production   company   plans   to   build   a   new   warehouse   in   order   to   supply   its   new   sales   points.   On   the   basis   of   a   preliminary   analysis   of   the   problem,   it   has   been   decided   that   the   facility   should   accommodate   at   least   800   pallets   of   80×80   cm2   dimension.   The   pallets   will   be   stored   onto   conventional   racks   and   transported   by   means   of   reach   trucks.   Each   rack   has   four   shelves,   each   of   which   can   store   a   single   pallet.   Each   pallet   occupies   a   1.0×1.0   m2   area.   Racks   are   arranged   as   in   the   figure   provided   in   the   lecture   notes,   where   side   aisles   are   3.0   m  

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