1. Ideal situation: Setup the spreadsheet model correctly and answer (in a Word document) all questions in the first part of the case. I provide feedback and you continue working on the second part. (Note: To be able to do the second part, we need to learn the content in Module 3.) Then, by December 9, you consolidate your analysis of the first and second parts, put them in a report format with the instructions given (executive summary, etc.) and submit.
2. Expected situation: Setup the spreadsheet model and provide brief answers to part I questions within the Excel worksheet. I provide feedback, and you will be working on the rest of the questions until December 9. If there is any mistake ...view middle of the document...
The case has been created based on the authors’ past collaborations with Efes on a number of projects, which have been implemented by the company in its distribution network.
The primary objective of this case is to help you improve your skills to:
1. see the broader picture but confine the problem within practical boundaries,
2. construct a linear programming model for a reasonably large problem,
3. construct a (mixed) integer programming model for a reasonably large problem,
4. solve the models using Excel Solver,
5. perform sensitivity and what-if analysis,
6. interpret results and make recommendations.
The case also aims to provide you an understanding of the implications of implementing cost-effective solutions obtained from a mathematical model and help you to gain insights on the delicate balances in a supply chain by modifying the models and analyzing the outputs for several scenarios. The case scenario allows you to see the problem from both marketing and operations perspectives.
Case Deliverables, Grading, and Timeline
Deliverable include a case write-up (Word document) and technical analysis worksheet (Excel file). The case write-up should include: 1) An executive summary, 2) Summary of your analysis, 3) Linear programming formulations of the problems solved, 3) Answers to all questions in the Case Analysis section below, and 4) Other findings and insights. The Excel file should include the spreadsheet models of the problems solved.
The following set of questions are intended to provide a guideline in studying the case. Your analysis should provide answers to all of these questions, but does not need to be limited with them. If you provide additional insights and recommendations to the firm, please make sure that you support them with a proper technical analysis, which should also be included in your submission.
The analysis of the case can be done in two parts. In Part I, you can focus on improving the current distribution system, and in Part II, you can focus on the optimization of distribution, location, and capacity expansion decisions over the next three years.
Analysis in Part I (Improving the current distribution system.)...