[meteor_slideshow slideshow=”arp1″]
As I indicated, I have the information you need to analyze the loading dock decision. We have obtained quotes from different companies for the two possibilities. The information from these quotes is summarized in this Word doc [EBBD Quotes Summary Info]. You will find the investment costs for each option and an estimate of the service (unloading) times for each one.
The first option is for an automated conveyor system that can be extended into the back of a delivery truck. The products are place directly on the conveyor and moved into the warehouse. This will be a single server situation, but should considerably speed up the process. However, note that there are operating and maintenance costs for this piece of equipment.
The second option is to make construction changes to the dock and expand it so that there is room for two unloading stations. We expect that we will continue to use the current unloading process, but this will provide the two-server option.
Analyze this data and determine which option is the best for EBBD. Consider two scenarios, one with no increase in deliveries (flat sales) from our vendors, and the other with a 3% annual growth, which will increase the number of possible daily vendor deliveries. As a reminder, we still consider the current average daily vendor deliveries to be at 28 per day.
We are looking for a clear and concise report that provides your conclusions and recommendations with a good explanation.
Let me know if you have any questions.
~DW, VP LogOps.
——————————-
Learning Wizard
Use what you have learned from the Background section. Develop the costs equations for each option and determine the breakeven point for the options. Use the current delivery situation and the forecast to determine which options are best. Write a clear report that provides what Wilco is looking for. Include explanation of your calculations.
TIP: The use of Breakeven Analysis is straightforward. What is tricky in this problem is determining the Fixed Costs and Variable Costs. For the variable costs, you need to determine the unloading time for each alternative and apply the labor cost/hr. And make sure you include all of the variable costs for each alternative. The fixed costs should include all annual fixed costs. Remember that you are looking at the time period of a year so that you can determine the annual breakeven quantity.
Upload the Report to Case 5. Upload the Excel file with the solution to Additional Files in Module 5.
Assignment Expectations of the written report – write this report to your boss, Danny Wilco
The report should thoroughly address these aspects in depth and breadth:
•Problem situation: clearly elucidate the problem situation at EBBD
•Assumptions: what are the assumptions that need to be made and your critical evaluation
•Solution: Present your solution. Discuss how you developed it. Keep in mind that your audience is not too technical and do not need a lot of detail on this. ◦Make sure you attach the Excel file.
◦You should refer to the Excel file when necessary.
•Recommendations: what do you propose for EBBD for improving its productivity in this situation.
•Justification & Explanation: clear reasoning as to why the recommendations were made
•Writing style & Organization: well-formed sentences and paragraphs, well organized with flow of reason, and good use of language that pertain to concepts and terminology
•Use of references & citations: References are NOT REQUIRED. If you do use any, be sure to include appropriate use of citations in the paper and reference list.
BACKGROUND INFO:
Virtual World
To: You
From: Danny Wilco
Subject: Re: loading dock area decision
I just wanted to keep you informed of the how this project is moving along. We have begun to discuss our options with several vendors and construction companies. We are in the process of determining the specifications for the automated system, and we are developing preliminary plans and specs for expanding the loading dock area. We will be asking for final specs and quotations shortly. As soon we get this information, I will send it along with the details of your assignment.
~DW, VP LogOps.
————————————
Learning Wizard
CASE 5 RESOURCES
Productivity can be analyzed in terms of a breakeven analysis. But there are two general ways to consider Breakeven. The first way is based on a product and its price, costs, and volumes, which is a special case of Cost-Volume-Profit analysis. This method utilizes the profit equation:
Profit = Price * Volume – Variable Costs * Volume – Fixed Costs.
Note that Price and Variable Costs are both on a per unit basis. To determine the breakeven point, profit is set equal to zero, and the equation is solved for Volume.
BE = (Fixed Costs) / (Price – Variable Costs)
The second method of doing breakeven analysis is to compare alternatives that have Fixed Costs and Variable costs and determine the volume at which these total costs for each is equal to zero.
Fixed Costs[a] + Variable Costs[a] * Volume = Fixed Costs[b] + Variable Costs[b] * Volume
Note that Variable Costs are on a per unit basis. Solving for the BE volume:
BE = (Fixed Costs[a] – Fixed Costs[b]) / (Variable Costs[b] – Variable Costs[a])
Download this PowerPoint that provides more details and examples. [Breakeven Analysis PPT]
After reviewing the examples in the PowerPoint, download this Excel file that has the examples along with the exercises for you practice. [Breakeven Calculator]
]. You can use this Excel Breakeven Calculator for the Case 5 problem.
Once you have mastered these examples and exercises you should be ready to analyze the EBBD situation and develop a solution.
SLP 5 RESOURCES
Lynch, Clifford. (2010). Top Ten Logistics Challenges for 2011 (and Beyond) . Retrieved from http://www.dcvelocity.com/articles/2010121310_logistics_challenges_in_2011/
Currently 1 writers are viewing this order
Additional Files
Owner Type Name Size Plagiarism Upload date
Client Additional file 104033Mod…ppt 1.07 Mb None 19:53 13 Sep 2013
Client Additional file Copy_of_…xlsx 0.02 Mb None 19:53 13 Sep 2013
Take order
Report a Problem
Request deadline extension till
Choose your reason
Date
14/09/2013
…
Time
16
52
© 2005–2013 “EssayWriters.net” Privacy policy info@essaywriters.net
[meteor_slideshow slideshow=”arp2″]
A-Research-Paper.com is committed to deliver a custom paper/essay which is 100% original and deliver it within the deadline. Place your custom order with us and experience the different; You are guaranteed; value for your money and a premium paper which meets your expectations, 24/7 customer support and communication with your writer. Order Now
Use the order calculator below and get started! Contact our live support team for any assistance or inquiry.
[order_calculator]