A Soft Drink Manufacturing Company Has 3 Factories-One in Orlando

question 13

Essay

A soft drink manufacturing company has 3 factories-one in Orlando, one in Tampa, and one in Port St. Lucie-which supply soft drink bottles to 3 warehouses located in the city of Miami. The associated per-unit transportation cost between the factories and the warehouses is provided in the table below.
​ $$\begin{array}{l}\text { Transportation Costs of Factories } ( \$ )\\\begin{array} { l c c c } \hline \text { Factories/Warehouses } & \text { W1 } & \text { W2 } & \text { W3 } \\\hline \text { Orlando } & 7 & 4 & 5 \\\text { Tampa } & 7 & 6 & 4 \\\text { Port St. Lucie } & 5 & 5 & 6\end{array}\end{array}$$ The factory in Orlando has a capacity of 14,000 units.
The factory in Tampa has a capacity of 25,000 units.
The factory in Port St. Lucie has a capacity of 23,000 units.
The requirements of the warehouses are: $$\begin{array} { | l | c | } \hline \text { Warehouse } & \text { Requirement (Bottles) } \\\hline \text { W1 } & 18,000 \\\hline \text { W3 } & 19,000 \\\hline\end{array}$$ ​
Determine how much of the company's production should be shipped from each factory to each warehouse in order to minimize the total transportation cost?

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Definitions:

Simple Structure

A structure within an organization that features minimal compartmentalization, broad ranges of control, a central point of authority, and little to no formal procedures.

Decentralized Organization

An organization where decision-making is distributed or delegated away from a central, authoritative location or group.

Leadership And Strategy Council

A dynamic group or forum within an organization dedicated to strategic decision-making and leadership development.

Circle Organization

A form of organizational structure characterized by shared leadership and decision-making processes distributed across circular hierarchies or teams, rather than traditional top-down management.