Operations Management 3-6 Essay Example | Topics and Well Written Essays - 2750 words

Operations Management 3-6 - Essay ExampleAccessibility to customers is the key factor in improving gasoline sales. A tertiary hospital is also a preferred business for this localization principle. The residential areas are near to it, there is no renewal market for this specialized service and healthcare services is a specific need of residents.The following factors of location B close to study highways, on the major truck route of large transportation companies, not close to any residential neighborhoods and large open area where new development can overstep is best suited for a garment processing company and a coffee processing represent. The location of the operations of a garment vital to the cleverness and profitability of company operations. Choice of location determines the productivity of capital investments. Manufacturing facilities have unique locations and there are transport costs to distribution and consumption, hence, production location affects the costs of distr ibution and consumption. Accessibility of manufacturing facilities of garment processing and coffee processing plant is important as transport costs represent a solid proportion of the costs of production and distribution. Without cost minimization, there will be no profit maximization. Location has a serious impact on a companys revenues.2. Aggregate planning in manufacturing is easier to accomplish than aggregate planning in services. For example, aggregate planning for a textile processing plant is easier to implement than for a business process outsourcing company. A textile company is basically a dig up intensive business. This means that the company uses large amounts of labor per unit output, and that wages form the largest single cost (50-70 percent of total costs) faced by employers. The cost of labor is therefore the most important locational deciding(prenominal) in the textile industry. The textile industry has been