TABLE FACTOR INFORMATION FOR ELECTRONICS MANUFACTURER Factor Score for Each Location Location Factor Factor Weight A B 1. Labor climate 20 5 4 4 2. Quality of life 16 2 4 1 3. Transportation system 16 3 4 3 2 4. Proximity to markets 14 4 5. Proximity to materials 12 3 4 6. Taxes 12 5 4 7. Utilities 10 4 3 3 3. 2. 2. LO

Practical Management Science
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Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
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An electronics manufacturer must expand by building a second facility. The search is narrowed to four locations, all of which are acceptable to management in terms of dominant factors. Assessment of these sites in terms of seven location factors is shown in Table. For example, location A has a factor score of 5 (excellent) for labor climate; the weight for this factor (20) is the highest of any.
Calculate the weighted score for each location. Which location should be recommended?

TABLE
FACTOR INFORMATION FOR ELECTRONICS MANUFACTURER
Factor Score for Each Location
Location Factor
Factor Weight
A
B
1. Labor climate
20
5
4
4
2. Quality of life
16
2
4
1
3. Transportation system
16
3
4
3
2
4. Proximity to markets
14
4
5. Proximity to materials
12
3
4
6. Taxes
12
5
4
7. Utilities
10
4
3
3
3.
2.
2.
LO
Transcribed Image Text:TABLE FACTOR INFORMATION FOR ELECTRONICS MANUFACTURER Factor Score for Each Location Location Factor Factor Weight A B 1. Labor climate 20 5 4 4 2. Quality of life 16 2 4 1 3. Transportation system 16 3 4 3 2 4. Proximity to markets 14 4 5. Proximity to materials 12 3 4 6. Taxes 12 5 4 7. Utilities 10 4 3 3 3. 2. 2. LO
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