– Affects volume of business
7
Location Decision Sequence
Country
Region/Community
Site
8
Factors Affecting Location
资源（人力、原材料、能源、资本、土地的价格及其 供应状况） 运输（费用及其设施状况） 市场（需求量、结构、竞争、价格、顾客分布及其需 求特点） 建筑（费用及其条件）； 税收、保险（种类、政策及其水平）； 自然条件（气候、地理位置、地质状况）； 经济条件（基础设施、生活质量）； 社会条件（文化习俗、公众态度）； 政治条件（政府政策及其态度、政治稳定）。
50
60 2.50 3.00
Per capital income
0.10
85
80 8.50 8.00
Tax structure
0.39
75
70 29.25 27.30
Education and health
0.21
60
70 12.60 14.70
Totals
1.00
7nal Break-Even Analysis
3
第一节 设施位置选择（ Facility Location）
设施位置决策（Decision） 设施位置选择的因素（Considerations） 设施位置分析方法（Methods）
4
In General - Location Decisions
Long-term decisions Difficult to reverse Affect fixed & variable costs
生产与运作管理
Production and Operations Management
第二章 设施设计 Design of Facilities
第二章 设施与作业设计
2
（Design of Facilities and Jobs）
设施位置选择（ Facility Location） 设施布置（ Facility Layout） *作业设计（Job Design）
6
Service Location Decisions
Revenue focus
– Costs vary little between market areas
Location is a major revenue factor
– Affects amount of customer contact
production volume »Must be above break-even
13
Locational Break-Even Analysis Example
You’re an analyst for AC Delco. You’re considering a new manufacturing plant in Akron, Bowling Green, or Chicago. Fixed costs per year are $30k, $60k, & $110k respectively. Variable costs per case are $75, $45, & $25 respectively. The price per case is $120. What is the best location for an expected volume of 2,000 cases per year?
– Transportation cost »As much as 25% of product price
– Other costs: Taxes, wages, rent etc.
Objective: Maximize benefit of location to firm
5
Industrial Location Decisions
Factor
Weight Scores (out of 100) Weighted Scores France Denmark France Denmark
Labor availability and attitude 0.25
70
60 17.50 15.00
People-to-car ratio
0.05
9
Location Evaluation Methods
Factor-rating method Locational break-even analysis Center of gravity method Transportation model
10
Factor-Rating Method
Most widely used location technique Useful for service & industrial locations Rates locations using factors
Cost focus
– Revenue varies little between locations
Location is a major cost factor
– Affects shipping & production costs (e.g., labor)
– Costs vary greatly between locations
– Intangible (qualitative) factors
» Example: Education quality, labor skills
– Tangible (quantitative) factors »Example: Short-run & long-run costs
11
Example： Factor Rating Method
Method of cost-volume analysis used for industrial locations Steps
– Determine fixed & variable costs for each location – Plot total cost for each location – Select location with lowest total cost for expected