Shuzworld task 2 Decision Analysis Tables only
Table A.1 Current Shipping Process
Factory
Capacity
Warehouse
Requirements
Shanghai
1300
1
2500
Shuzworld H
2300
2
1500
Shuzworld F
2200
3
1800
Totals
5800
5800
Table A.2 Costs
To/From
Warehouse 1
Warehouse 2
Warehouse 3
Shanghai
$4
$3
$3
Shuzworld H
$3
$4
$2
Shuzworld F
$2
$4
$6
Table A.3 - Low-Cost Method
Data
COSTS
W1
W2
W3
Supply
Shanghai
4
3
3
1300
Shuzworld H
3
4
2
2300
Shuzworld F
2
4
6
2200
Demand
2500
1500
1800
5800 \ 5800
Shipments
Shipments
W1
W2
W3
Row Total
Shanghai
0
1300
0
1300
Shuzworld H
300
200
1800
2300
Shuzworld F
2200
0
0
2200
Column Total
2500
1500
1800
5800 \ 5800
Total Cost
13600
Table A.4 – Low cost method with Increased Supply + New shipping pattern
Note: Shanghai would like to increase production to 2,800 units. The demand is remaining the same. The overage will be an excess stored at the SI and SH plants.
Data
COSTS
W1
W2
W3
Excess
Supply
Shanghai
4
3
3
0
2800
Shuzworld H
3
4
2
0
2300
Shuzworld F
2
4
6
0
2200
Demand
2500
1500
1800
1500
7300 \ 7300
Shipments
Shipments
W1
W2
W3
Excess
Row Total
Shanghai
0
1500
0
1300
2800
Shuzworld H
300
0
1800
200
2300
Shuzworld F
2200
0
0
0
2200
Column Total
2500
1500
1800
1500
7300 \ 7300
Total Cost
13400
Table B.1 Current Machine Reliability Machine 1
Machine 2
Machine 3
Component
0.84
0.91
0.99
Table B.2 System Reliability
Data
Machine 1
Machine 2
Machine 3
Component
0.84
0.91
0.99
Results
Machine 1
Machine 2
Machine 3
Component
0.16
0.09
0.01
Reliability
0.84
0.91
0.99
Sys Reliability
0.757
Table C.1 Optimal Inventory for Shoelaces
Inventory
Economic Order Quantity Model
Data
Demand rate, D
300000
Setup/order cost, S
125
Holding cost, H
0.1
Unit Price, P
Results
Optimal Order Quantity, Q*
27386.13
Maximum Inventory
27386.13
Average Inventory
13693.06
Number of Orders
10.95
Holding cost
$1,369.31
Setup cost
$1,369.31
Unit costs
$0.00
Total cost,
Factory
Capacity
Warehouse
Requirements
Shanghai
1300
1
2500
Shuzworld H
2300
2
1500
Shuzworld F
2200
3
1800
Totals
5800
5800
Table A.2 Costs
To/From
Warehouse 1
Warehouse 2
Warehouse 3
Shanghai
$4
$3
$3
Shuzworld H
$3
$4
$2
Shuzworld F
$2
$4
$6
Table A.3 - Low-Cost Method
Data
COSTS
W1
W2
W3
Supply
Shanghai
4
3
3
1300
Shuzworld H
3
4
2
2300
Shuzworld F
2
4
6
2200
Demand
2500
1500
1800
5800 \ 5800
Shipments
Shipments
W1
W2
W3
Row Total
Shanghai
0
1300
0
1300
Shuzworld H
300
200
1800
2300
Shuzworld F
2200
0
0
2200
Column Total
2500
1500
1800
5800 \ 5800
Total Cost
13600
Table A.4 – Low cost method with Increased Supply + New shipping pattern
Note: Shanghai would like to increase production to 2,800 units. The demand is remaining the same. The overage will be an excess stored at the SI and SH plants.
Data
COSTS
W1
W2
W3
Excess
Supply
Shanghai
4
3
3
0
2800
Shuzworld H
3
4
2
0
2300
Shuzworld F
2
4
6
0
2200
Demand
2500
1500
1800
1500
7300 \ 7300
Shipments
Shipments
W1
W2
W3
Excess
Row Total
Shanghai
0
1500
0
1300
2800
Shuzworld H
300
0
1800
200
2300
Shuzworld F
2200
0
0
0
2200
Column Total
2500
1500
1800
1500
7300 \ 7300
Total Cost
13400
Table B.1 Current Machine Reliability Machine 1
Machine 2
Machine 3
Component
0.84
0.91
0.99
Table B.2 System Reliability
Data
Machine 1
Machine 2
Machine 3
Component
0.84
0.91
0.99
Results
Machine 1
Machine 2
Machine 3
Component
0.16
0.09
0.01
Reliability
0.84
0.91
0.99
Sys Reliability
0.757
Table C.1 Optimal Inventory for Shoelaces
Inventory
Economic Order Quantity Model
Data
Demand rate, D
300000
Setup/order cost, S
125
Holding cost, H
0.1
Unit Price, P
Results
Optimal Order Quantity, Q*
27386.13
Maximum Inventory
27386.13
Average Inventory
13693.06
Number of Orders
10.95
Holding cost
$1,369.31
Setup cost
$1,369.31
Unit costs
$0.00
Total cost,