Lecture 6 - BUS 105: Production and Operations Management...

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Unformatted text preview: BUS 105: Production and Operations Management Copyright: Mohsen ElHafsi 2011 1 !"# %&’ ()*+,-./*0 10+ 234)1./*05 610174840. Logistics and facility Location !""# %&’ (&)*+,&- ."),/,&-/ ! Marketing Strategy ! Growth BUS 105: Production and Operations Management ! Depletion of Resources ! Cost of Doing Business 2 !*+0’" &% (&)*+,&- ."),/,&-/ ! Strategic Importance " Long term commitment/costs " Impact on investments, revenues, and operations " Supply chains ! Objectives BUS 105: Production and Operations Management ! Objectives " Profit potential " No single location may be better than others " Identify several locations from which to choose ! Options " Expand existing facilities " Add new facilities " Move 3 1*2,-3 (&)*+,&- ."),/,&-/ ! Decide on the criteria ! Identify the important factors BUS 105: Production and Operations Management ! Develop location alternatives ! Evaluate the alternatives ! Make selection 4 BUS 105: Production and Operations Management (&)*+,&- ."),/,&- 4*)+&’/ Regional Factors Community Considerations 5 Site-related Factors Multiple Plant Strategies BUS 105: Production and Operations Management 5"3,&-*6 4*)+&’/ ! Location of raw materials ! Location of markets 6 ! Labor factors ! Climate and taxes BUS 105: Production and Operations Management Copyright: Mohsen ElHafsi 2011 2 BUS 105: Production and Operations Management !"##$%&’( !"%*&+,-.’&"%* ! Quality of life ! Services ! Attitudes 7 ! Taxes ! Environmental regulations ! Utilities ! Developer support BUS 105: Production and Operations Management /&’, 0,1.’,+ 2.3’"-* ! Land ! Transportation 8 ! Environmental ! Legal BUS 105: Production and Operations Management 4$1’&51, 61.%’ /’-.’,7&,* ! Product plant strategy ! Market area plant strategy ! Process plant strategy 9 BUS 105: Production and Operations Management !"#5.-&*"% "8 /,-9&3, .%+ 4.%$8.3’$-&%7 !"%*&+,-.’&"%* Manufacturing/Distribution Service/Retail Cost Focus Revenue focus Transportation modes/costs Demographics: age,income,etc...
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This note was uploaded on 04/19/2011 for the course BUSINESS 105 taught by Professor Elhasfi during the Spring '11 term at UC Riverside.

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Lecture 6 - BUS 105: Production and Operations Management...

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