A location analysis for Cook Controls, a small manufacturer of parts for high-technology cable systems, has been narrowed down to four locations. Cook will need to train assemblers, testers, and robotics maintainers in local training centers. Lori Cook, the president, has asked each potential site to offer training programs, tax breaks, and other industrial incentives. The critical factors, their weights, and the ratings for each location are shown in the following table. High scores represent favorable values.
|
Factor
|
Weight
|
Location
|
|
Akron, OH
|
Biloxi, MS
|
Carthage, TX
|
Denver, CO
|
|
Labor availability
|
.15
|
90
|
80
|
90
|
80
|
|
Tech school quality
|
.10
|
95
|
75
|
65
|
85
|
|
Operating cost
|
.30
|
80
|
85
|
95
|
85
|
|
Land & construction cost
|
.15
|
60
|
80
|
90
|
70
|
|
Industrial incentives
|
.20
|
90
|
75
|
85
|
60
|
|
Labor cost
|
.10
|
75
|
80
|
85
|
75
|
a) Compute the composite (weighted average) rating for each location.
b) Which site would you choose?
c) Would you reach the same conclusion if the weights for operating cost and labor cost were reversed? Re-compute as necessary and explain.