Example 1

A department store has branches in four locations: A, B, C and D. Department Store has a Ware House at D and plans to seek the central location of the new house ware. Previously, it has been determined in advance the coordinates of 0.0. Store locations in A (30.120); D (130, 130), C (90, 110) and B (60.40). Total demand for containers every month for A (2000); D (1000), C (1000) and B (2000). Location A has coordinates d (1, x) = 30, d (1, y) = 120, and W1 = 2000. By using equations Center of gravity is obtained the desired central location.

REMINDER Process Flow Structure

Process Flow Structure defines type of material flow within working places.

Reseachers of this issue Robert Hayes and Steven Wheelwright define 4 main types of process flows.

Job Shop - This production of a wide range of different products in small parties which often requires different set and sequence of technological operations. Examples of such production can serve as commercial printing firms, companies working in aircraft manufacturing, metal and wood workshops (=мастерские), and factories producing printed circuit boards =печатные платы to order.

Batch – In fact, the company working on this principle produces the periodic order. This type of production is usually chosen, if a company has a relatively stable range of different products, each produced on a periodic basis - either by customer request or for the replenishment of stocks of the company. Most of the products are produced using the same technological scheme. As an example, the production of heavy equipment, electronic appliances and fine chemicals for organic synthesis = химических продуктов тонкого органического синтеза.

Assembly Line – Production of selected items that are automatically moved from one job to another with a controlled speed and in the sequence required for output. Examples are handmade toys and electrical appliances or automatic assembly of printed circuit boards.

Continuous Flow – Processing or further processing of indivisible materials such as oil, chemicals or beer. Like on an assembly line, production process takes place in a certain sequence, but in this case, the production flow is continuous. Such technologies are typically characterized by a high level of automation and, in fact, represent one integrated "car", which works 24 hours to avoid costly stops and starts.

Production/Process Matrix

Relationship between types of process flow structure and volume of output is often displayed by so called Production/Process Matrix - продуктово-процессная матрица.

This matrix shows that the increase in output and deepening of specialization of production line (horizontal axis) are making specialized equipment and streamlined material flow (vertical axis) cost-effective. Because the structure of this evolution is often correlated with the stages of product life cycle (development of production, increase production and stage of maturity), this matrix is very convenient to reflect the interrelationship of marketing and production strategies.

Companies listed in matrix are ideal types that finally determined their structural niche. However, any of those shown on this matrix typical representatives of their industry can choose for themselves another position.

The main task of modern industrial strategy is to find opportunities to combine flexibility of enterprise, which manufactures products to order (Stage I), with the cost advantages of an assembly line and continuous production (stage III and IV). Currently, however, this combination is economically feasible =целесообразнo only in a fully automated production system.