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Strategizing optimum location - Essay Example
Author : curtis04
Pages 2 (502 words)
Problem context and background: To better illustrate the case, we'll consider a typical food processing industry, e.g. an abattoir that supplies packaged meat directly to Retail stores. The method used in IP is called "Hub location", solved using hub-and-spoke networks, which minimize transport cost across the network…
The first two will strategize manufacturing concerns of the abattoir, whereas the last one is a service roadmap.
Analysis and theoretical briefing: The standard design of an abattoir goes somewhat like this: a 60 m2 by 30 m2 rectangular Plan consisting mainly of 1)Production module (Pi): P1 slaughter floor, P2 lairage (store area for animals prior to slaughter), P3 chiller, P4 tripe room, P5 meat cutting and processing. 2)Service module (Si): S1 water supply, S2 effluent disposal, S3 solid waste and blood disposal, S4 hide and skin processing, S5 electric light and power. For our case study, we restrict our discussions on a simplistic level only.
Let us examine how standard Operation procedures apply in this case. Using linear programming, we need to mainly determine the quantity and variety (e.g. cattle, pigs, sheep and goat, etc.) of slaughter needed/day based on market demand; in this example the "objective function" is market revenue (Ri) out of beef (x1) and pork (x2), and the constraints are space requirements, and market "demand". ...