stats-case 15.5

stats-case 15.5 - average shipping costs will increase by...

Info icon This preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
Travis Giguere Matlock Arnold Achem Pichay Mgt 3440-1
Image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full Document Right Arrow Icon
Case Study 15.5 Wendell Motors Executive Summary
Image of page 2
To create a model to figure out what affect shipping on holidays has, we ran a forward selection  stepwise regression analysis. By looking at the analysis we can discover what kind of  correlation shipping on holidays will have on the shipping cost. We can see that the variable  with the highest correlation to shipping costs is the weight of the package. The variable with the  next highest correlation to shipping price is whether or not the item was shipped on a holiday.  Since the P value is below the alpha level we can conclude that shipping on a holiday does  have a significant correlation with the cost of the shipment. Our analysis tells us that with all  other variables applicable, when the company decides to ship their product during a holiday, on 
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: average, shipping costs will increase by $17.61. This shows that the company will be losing about an extra $17.61 every time they ship a product on a holiday. Introduction Wendell Motors makes and ships small electric motors to customers in and around the St/ Louis area. On occasion Wendell Motors encounters a customer that is in emergency need of a motor, so Wendell must rush the motor through production and then expedite it to the customer. The management team is worried that these special orders are too expensive to handle, especially concerning the orders that must be shipped on holidays. Tyler Jenkins must develop a model that can estimate the cost of expediting a customers orders which will also tell him what affect shipping on holidays will have on the cost....
View Full Document

{[ snackBarMessage ]}

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern