QBUS 6310 Business Operations Analysis 2

Java Python QBUS 6310

Business Operations Analysis

Assignment 2

Group Case Study

20% of total mark

Due: Fri Oct 18, 2024 23:59

Part 1. Assignment information

– Group assignment

– Group

– Self-enroll in the groups at "People"--"Groups". You can post on Ed to find members to join. Each group has no more than 5 students.

– Task

– Write a PPT to report your recommended solutions.

– Clearly explain the network design and assortment choices.

– Submission

– Appoint a representative to submit the PPT and Excel file.

– Page limit is 30, including title page and references.

– The PPT needs to be well-written and suitable for corporate presentation (i.e., addressing to the case company not the academic staffs).

– Logical flows (such as title page, group member page, overview, transition, conclusion pages) are expected.

– Your PPT should contain a group photo.

– Feel free to use generative AI to assist you in drafting the PPT. Relevant pictures can increase the realism.

– Assortment and facility location joint optimization Information gave in lecture week 5

– We break the model into two stages.

– First, solve the universal assortment model (apply greedy algorithm)

– Week 5 lecture

– Second, use the expected demand and assortment as inputs for a facility location model (4 candidate sites for warehouses).

– Week 3 lecture

– Third, write a PPT to explain your solution in such details that the case company can act upon your suggestions.

– 带有 Pitch 性质

– The case is roughly based on a retail chain store in Shanghai.

– The GPS data is shown but some of the distances are already computed in the matrix. (You compute the missing data using a link recommended.)

– The cost data is modified due to business confidentiality.

– The assortment data is artificially created for the testing purpose.

Part 2.

Background of the Case Company

Founded in 1989, G company started with only one product—baby stroller. Over the past 30 plus years, G company expanded its product portfolio to include: cots, highchairs, children’s clothing, and nursing supplies. In 2024, G company emerges as a well-known brand in Shanghai, China.

At present, 84 stores are being supplied from a regional warehouse, from which the transportation time is 24 hours. In addition to the transportation time, each order requires picking, packing, and moving activities such that the total lead time for each order is roughly 72 hours (from ordering to receiving the goods). The transportation cost from the regional warehouse to stores is estimated to be CNY 6 per kilometer per product.

G company plans to carry out a “520” pilot project: 5 hours’ maximum replenishment time, 2 replenishments a day, and 0 out-of-stock situations. The pilot project requires upfront warehouses serving as buffers for product flow from the regional warehouse to stores. The entire system will install an automatic ordering system that monitors the in-store inventory levels in real time.

The pilot project will deploy to 10 out of 84 stores in Shanghai. The focus is on children’s clothes, of which the assortment contains 5 variants shown in the following Table 1.

Table 1: Five Variants

Variant