Assignment 3-Dos 29 Jan 2022

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MCL756: Supply Chain Management/Assignment

[Marks: 75]: Date of submission: 29 Jan 2022

Note
a) Submit the pdf copy of your response through Moodle only. This assignment contains three Excel based
formulations. Use excel solver to solve them, BIUT include the entire response of this assignment as a
SINGLE PDF file only
b) The first page of your response sheet should include
Name of your group Assignment No
Sn Entry number Name of Specific contribution in the Comment (if any)
member assignment Pl mention if someone has
NOT contributed
1
2
3
4
5
Please note the following:
Question No Word limit Marks
1 No Limit 7
2 No Limit 14
3 No Limit 40
4 300 7
5 300 7
Total Marks 75
Part A
1. Consider a simple 2 product (say P1 and P2) product mix problem. Generate unit profits for these products.
Assume three resources (Labor, Space and Machine hours). Generate your own values to reflect these
constraints.
Formulate the LP problem and solve using Excel-solver.
(Attach Excel solution in a single pdf file).
[Marks: 2+5]

2. Consider the following distribution problem involving 3 plants and 5 warehouse. The unit cost of
distribution is given.
Plant Warehouse Supply at Plants (units)
A B C D E
P 10 8 6 5 4 310
Q 6 5 4 3 6 260
R 3 4 5 5 9 280
Demand by Warehouse (Unis) 180 80 200 160 220
a) Formulate the above problem.
b) Solve the above problem using Excel-solver to find the optimum cots of distribution. (Attach excel
formulation and output- Convert the excel file into a single pdf file)
c) Interpret the shadow prices for any two constraints.

[Marks: 5+5+4]
3. Consider the case of Indian Paints (discussed in the class). The details of the case are uploaded in Moodle.
The marketing group prepares market estimates every quarter and expects the supply chain to plan its
operations so that the firm can deliver its products to all six markets at the lowest possible cost. Keeping in view
the capacity constraints of each plant and the existing cost structure, the supply chain group has to allocate
market demand to plants.
a) Formulate the above problem using Excel solver.
b) Find the optimal allocations to minimize the cost of the network.
c) Is it worthwhile to increase the capacity of Baddi plant? Why or why not?
What other consideration will enter into such decisions.
d) What will happen if the demand at Delhi market is increased by 10 %?
e) Explain the importance of sensitivity analysis to SC team at Indian Paints.

[Marks: 15+5+5+5+10]
4. Consider the distribution and delivery of vaccine for children during Covid-19. Explain the significance of the
sensitivity analysis for such problem.
[Marks: 7, word limit: 300 words]
5. “In today’s data driven world, Supply Chain Managers need to be comfortable in modelling and interpretation”
- Support this statement with some real-life examples.

[Marks: 7, word limit: 300 words]

Part B
Kindly add this section in your submission
i) Learning for individual member in this assignment
Sn Entry No Name Individual learning (write 2-3 bullets each)
1
2
3
4
5
ii) Learning for the entire group:
Pl write 2-3 lines (not more than 30 words!) as a collective group on what did you learn in this assignment.

Your assignment WILL NOT BE evaluated unless part B is attached in the pdf

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