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Logistics and Facility Location true false

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1. 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.;Level: Easy;2. Facility location analysis considers the competitive imperative to be close to customers as to timeliness of deliveries.;Level: Easy;3. Facility location analysis considers the competitive imperative of lowest total cost.;Level: Easy;4. Facility location analysis considers the competitive imperative of a favorable business climate as indicated by the presence of other companies in the same industry.;Level: Easy;5. 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.;Level: Easy;6. Facility location analysis considers the competitive imperative of locating near the appropriate labor pool to take advantage of high technical skills.;Level: Easy;7. An example of a positive business climate that might influence a facility location decision is increasing governmental costs and increasing property taxes.;Level: Easy;8. A favorable business climate in facility location decision-making might include government legislation of tax abatements.;Level: Easy;9. A favorable business climate in facility location decision-making might include local government intervention to facilitate businesses locating in an area via subsidies.;Level: Easy;10. A favorable business climate in facility location decision-making might include local government providing basic skill training for prospective members of the workforce.;Level: Easy;11. In facility location decision-making the educational and skill levels of the labor pool must match the company's needs.;Level: Easy;12. In facility location decision-making matching the educational and skill levels of the labor pool to a company's needs is even more important than the labor pool's willingness and ability to learn.;Level: Easy;13. Because the world is becoming more highly interconnected, the proximity of an important supplier's plants is not crucial in supporting lean production methods.;Level: Easy;14. Issues of product mix and capacity are strongly interconnected to the facility location decision.;Level: Easy;15. A free trade zone operates under different rules and laws than a foreign trade zone.;Level: Easy;16. A free trade zone is typically a closed facility into which foreign goods can be brought without being subject to the usual customs requirements.;Level: Easy;17. The objective of facility location analysis is to select the site with the lowest total cost.;Level: Medium;18. Governmental barriers to enter and locate in many countries are increasing through restrictive protectionist legislation.;Level: Easy;19. Quality of life in a host community is not a major factor in making the facility location decision.;FALSE;Level: Easy;20. In facility location decision-making the factor-rating system is one of the least used general location techniques.;Level: Easy;21. In facility location decision-making the factor-rating system is based on linear programming.;Level: Easy;22. A major problem in a plant location decision based on the factor-rating system is that simple point-rating schemes do not account for the wide variance of costs that may occur within each factor used in the analysis.;TRUE;Level: Easy;23. Services typically have multiple site locations close to customer markets.;TRUE;Level: Easy;24. Facility location decisions are made using analytical techniques that are able to weigh a large number of different variables equally.;Level: Easy;25. A third-party logistics company is a firm that manages all or part of another company's product delivery operations.;Level: Easy;26. DHL and United Parcel Service are transportation companies which are prohibited from functioning as a third-party logistics company the way Federal Express does.

 

Paper#30078 | Written in 18-Jul-2015

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