How to solve facility problem?

1. Production and Operations
Management Assignment
YOUNGISTAN GROUP
Rahul Patil
Hitesh Bhiogade
Suraj Patil
Rhythm Kabra
Shuaib

2. Factor Rating method
Parameters Factor rating
method
SGS Mall Central
Mall
Rating Total Rating Total
Infrastructure 8 3 24 4 32
Footfalls 7 2 14 3 21
Variety 6 3 18 4 24
No.of brands 7 3 21 4 28
Shelf
6 2 12 3 18
Arrangement
Parking Facility 7 4 28 2 14
Housekeeping
Status
5 3 15 2 10
Customer
Satisfaction
8 2 16 3 24
Fire safety 7 2 14 3 21
Total 162 192
So, Central mall
is
Best
choice

3. Weighted Factor Rating Method
Parameters Weight (Out of 100) SGS MALL Central Mall
Infrastructure 20 3 4
Footfalls 10 2 3
Variety 15 3 4
No.of brands 10 3 4
Shelf Arrangement 10 2 3
Parking Facility 5 4 2
Housekeeping Status 5 3 2
Customer
Satisfaction
15 2 3
Fire safety 10 2 3

4. Weighted Factor Rating Method Calculation
Weighted Factor Score for SGS Mall=
20x3+10x2+15x3+10x3+10x2+5x4+5x3+15x2+10x2=260
Weighted Factor Score For Central
Mall=20x4+10x3+15x4+10x4+10x3+5x2+5x2+15x3+10x3=335
So, the Central mall is the best site based on total weighted scores.

5. Load –Distance Method
Location (x,y) Population
(I)
Location 1 (3.5,4.5) Location 2 (4,4.5)
Distance
Load-distance
Distance
(d)
(d)
Load-
Distance
A (3.5, 4.5) 10 0+0=0 0 0.5+1=1.5 15
B (3, 4.5) 5 0.5+0=0.5 2.5 1+1=2 10
C
(4.5,5 ) 10 1+0.5=1.5 15 0.5+0.5=1 10
D (4, 5.5) 7 0.5+1=1.5 10.5 0+0=0 0
E (2.5,4 ) 2 1+0.5=1.5 3 1.5+1.5=3 6
Total 31 41
Summing the scores for all tracts gives a total load-distance score of 41 when the facility is located at (4,5.5)
versus a load-distance score of 31 at location (3.5,4.5). Therefore, the location A is a better location.

6. Centre of Gravity
Census
Tract
(x,y) Population (I) Lx Ly
A (3.5, 4.5) 10 35 45
B (3, 4.5) 5 15 22.5
C (4.5,5 ) 10 45 50
D (4, 5.5) 7 28 38.5
E (2.5,4 ) 2 5 8
Total 34 98 164

7. Calculation
Cx= Ʃ Dix Wi/ Ʃ Wi=98/34=2.88
Cy= Ʃ Dix Wi/ Ʃ Wi=164/34=4.82
The center of gravity is (2.88, 4.82). Using the center
of gravity as starting point, managers can now search
in its vicinity for the optimal location.

8. Thank you