Optimization Analysis and Strategic Recommendations for Shuzworld's Operations Management

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DA Task 2 , JGT 21Optimization Analysis and Strategic Recommendations for Shuzworld'sOperations ManagementAnalyze Shuzworld's current distribution pattern, machine reliability, production costs,inventory management, and line waiting systems. Evaluate the effectiveness of proposedchanges, including the impact on transportation costs, production reliability, inventoryoverhead, and customer wait times. Your analysis should be supported by relevantcalculations and include recommendations for optimization. Your response should be1,500 to 2,000 words and include citations from at least two academic sources using APAstyle.

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DA Task 2 , JGT 22A.Distribution PatternThecompany’sdistribution pattern should reveal 1300 units shipping from Shanghaito Warehouse 2. Shuzworld H is currently shipping300 units to Warehouse 1,shipping200 units to Warehouse 2, andshipping1800 units to Warehouse 3.Shuzworld F isshipping 2200units to Warehouse 1. This current shippingmodelrevealsOptimal Transportation Costsequaling$13,600. The changes to theproduction modelthat was provided would increase shipping and production from theShanghai plant to 2800 units from the current 1300 units. The increase in productionwill decrease the transportation costs from this plant by $200.The new plan is alsocontingentupon the Shanghai plant shippinghaving the capabilities to ship200 moreunits toWarehouse 2.Orig.Shipping PlanWH1WH2WH3SupplyShanghai4331,300Shuzworld H3421,500Shuzworld F2461,800Demand2,5001,5001,800Optimal Cost = $13,000Warehouse 1Warehouse 2Warehouse 3Shanghai1,300Shuzworld H3002001,800Shuzworld F2,200New Shipping PlanWarehouse 1Warehouse 2Warehouse 3SupplyShanghai4332,800Shuzworld H3421,500Shuzworld F2461,800Demand2,5001,5001,800

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