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Exam 14: Location, Logistics, and Distribution

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Question 1

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Plant A is located at the (X,Y) coordinates of (100,200) and has a volume of shipping of 500 units a day.Plant B is located at the (X,Y) coordinates of (150,400) and has a volume of shipping of 200 units a day.Using the centroid method,which of the following is the X coordinate for the new plant location?

A) About 100
B) About 114
C) About 130
D) About 150
E) X coordinate cannot be computed from the data given

F) D) and E)
G) A) and D)

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Question 2

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Cross docking is a practice used in the international shipping industry that facilitates port utilization.

A) True
B) False

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Question 3

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Hub and spoke systems combine the idea of consolidation and that of cross docking.

Very few products are moved without at least part of their journey being by which mode of transportation?

Which of the following is not a criterion that influences manufacturing plant or warehouse facility location decisions?

How many free trade zones are there in the United States?

A favorable business climate in facility location decision-making might include government legislation of tax abatements.

A favorable business climate in facility location decision-making might include local government intervention to facilitate businesses locating in an area via subsidies.

A free trade zone operates under different rules and laws than a foreign trade zone.

Which of the following is a plant location methodology good for locating a single facility within a set of existing facilities based in distances and volumes of goods shipped?

One of the objectives in facility location analysis is to select a site with the lowest total cost.Which of the following costs are hidden costs that should be included in the analysis?

Which of the following is not an infrastructure criteria used in facility location analysis?

The text describes 14 "Issues in facility location." Name as many of these as you can. 1)________________________ 2)________________________ 3)________________________ 4)________________________ 5)________________________ 6)________________________ 7)________________________ 8)________________________ 9)________________________ 10)________________________ 11)________________________ 12)________________________ 13)________________________ 14)________________________

The local government's willingness to invest in upgrading infrastructure to the levels required by a company is an important issue in a company's decision of where to locate a new facility.

DHL and United Parcel Service are transportation companies which are prohibited from functioning as a third-party logistics company the way Federal Express does.

The centroid method for plant location uses which of the following data?

What weight should be given to environmental pollution control regulations that differ from location to location or from country to country in making facility location decisions?

Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of low wage costs and/or skill levels.

A free trade zone is typically a closed facility into which foreign goods can be brought without being subject to the usual customs requirements.

In a hub-and-spoke system each warehouse in the system acts as a spoke.