1. PRODUCTION AND OPERATIONS MANAGEMENT
Ch. 9: Location Strategies
SUMMARY
POM - J. Galván

2. BASIC POINTS WHERE DO WE LOCATE PRODUCTION FACILITIES? Choices:
Cost
Revenues
Factors to be taken into account
Location evaluation methods:
Factor-rating method
Locational break-even analysis
Center of gravity method
Transportation model
The case of services
POM - J. Galván

3. QUESTIONS
Examine the importance if location decisions. Which are the factors that influence these decisions?
How do facilities location decisions differ for service facilities and manufacturing plants?
Which of the following is NOT important in globalization
Product design
Culture and ethics
Facility location
Facility lay out
Which of the following is NOT a method for evaluating location alternatives,
The transportation model
Factor rating
Center of gravity method
Waiting line analysis
POM - J. Galván

4. QUESTIONS (II)
Industrial location decisions are often cost oriented and service location decisions are often revenue oriented. Do you agree?, explain it
If we use the breakeven analysis for location decisions, point out what type of data do we need
Can Geographical Information Systems (GIS) help with location decisions? At what level: country, region, city, environment?
In what type of industries might the transportation method be the optimum one for deciding about locations
POM - J. Galván

5. Final Thought
POM - J. Galván 37