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Part 1) In a single Word document, complete the Case Study, Hanover, Inc. Managerial Report. Submission should comply with APA 7th ed. (LO1) (LO2) (LO3)

Part 2) Create a management PowerPoint presentation of the case, Hanover, Inc. Managerial Report. The presentation is to be a minimum of 12 slides and a maximum of 15 slides. (LO1) (LO2) (LO3)

7/23/22, 3:39 PM
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Chapter : Case Problem: Hanover Inc. Case Problem: Hanover Inc.
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
Case Problem: Hanover Inc.
Because of increasing global demand
for its fiber optics products, Hanover
This case draws on material from Chapters
Inc. is currently facing a decision on
10, 12, and 13.
how to increase its production capacity.
Hanover has three fiber optic products
denoted by FA, FB, and FC. Hanover
has two existing plants in Austin, Texas and Paris, France. Hanover plans to keep the Austin
and Paris plants will open, but the production capacity at these two existing plants can be
changed from their current levels (600,000 units per year). Each plant can make any mix of
the three products. Seven locations are being considered for an additional new plant. These
consist of two cities in the United States (Charleston, SC and Mobile, AL) and five other
locations currently simply defined by country (Australia, India, Malaysia, South Africa, and
Spain).
The company’s customers have been aggregated onto eight customer regions (Malaysia,
China, France, Brazil, US Northeast, US Southeast, US Midwest, and US West) and its
Planning and Forecasting department has forecasted demand for each region five years
into the future. The Planning and Forecasting department has also provided other relevant
data to help with the decision on how to expand capacity given the forecasted demand.
Descriptions of the available data provided in the file Hanover follow:
Duty: This worksheet contains the duty rate charged from each plant to each
customer region. This rate is multiplied by the selling price to get the cost per unit paid
in duty to ship into one country from another country.
Fixed Cost: This worksheet contains the fixed cost of plant operation including capital
costs, insurance, management, etc. These costs depend on the capacity level of the
plant, and costs for two different levels of capacity are given for each plant location.
The capacities are independent of product mix.
Forecast: This worksheet contains five-year-out forecasted demand for each product
by customer region.
F&WH Cost: This worksheet contains freight and warehousing cost per unit from
each plant location to each customer region (which are independent of product type).
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Price: This worksheet contains the selling price of each product for each customer
region.
Variable Cost: This worksheet contains the variable cost of each product at each
plant.
The vice president of supply chain management would like you to study this situation using
the given data.
Managerial Report
Use the concepts in Chapters 10, 12, and 13 to make a recommendation to Hanover’s vice
president of supply chain management. In particular, make a recommendation regarding
whether or not a new plant is needed and if so, at which of the seven locations under
consideration it should be located. Also, your report should indicate which capacity levels
should be used at each plant, and how product should be sourced.
Chapter : Case Problem: Hanover Inc. Case Problem: Hanover Inc.
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.
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Plant
Austin
Austin
Austin
Austin
Austin
Australia
Australia
Australia
Australia
Australia
Charleston
Charleston
Charleston
Charleston
Charleston
India
India
India
India
India
Malaysia
Malaysia
Malaysia
Malaysia
Malaysia
Mobile
Mobile
Mobile
Mobile
Mobile
Paris
Paris
Paris
Paris
Paris
S Africa
S Africa
S Africa
S Africa
S Africa
Spain
Spain
Spain
Spain
Spain
Customer
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Duty Rate
0.220
0.300
0.090
0.120
0.000
0.220
0.300
0.090
0.120
0.042
0.220
0.300
0.090
0.120
0.000
0.220
0.300
0.063
0.120
0.042
0.000
0.300
0.063
0.120
0.042
0.220
0.300
0.090
0.120
0.000
0.220
0.300
0.000
0.120
0.042
0.220
0.150
0.056
0.120
0.042
0.220
0.300
0.000
0.120
0.042
Plant
Austin
Austin
Australia
Australia
Charleston
Charleston
India
India
Malaysia
Malaysia
Mobile
Mobile
Paris
Paris
S Africa
S Africa
Spain
Spain
Capacity
600000
1,200,000
600000
1200000
600000
1200000
600000
1200000
600000
1200000
600000
1200000
600000
1200000
600000
1200000
600000
1200000
Cost
$ 725,000
$ 1,245,000
$ 1,037,000
$ 1,256,000
$ 1,082,000
$ 1,300,000
$ 960,000
$ 1,179,000
$ 959,000
$ 1,178,000
$ 1,057,000
$ 1,276,000
$ 875,000
$ 977,000
$ 801,000
$ 1,050,000
$ 994,000
$ 1,213,000
Customer
Product
Malaysia
A
China
A
France
A
Brazil
A
US Northeast
A
US Southeast
A
US Midwest
A
US West
A
Malaysia
B
China
B
France
B
Brazil
B
US Northeast
B
US Southeast
B
US Midwest
B
US West
B
Malaysia
C
China
C
France
C
Brazil
C
US Northeast
C
US Southeast
C
US Midwest
C
US West
C
Forecsted Volume
42900
318830
143600
19350
9870
102970
57490
183400
25800
57090
31980
27050
34320
71130
175030
295230
133160
165930
182080
77070
7830
155230
224750
127360
Plant
Austin
Austin
Austin
Austin
Austin
Austin
Austin
Austin
Australia
Australia
Australia
Australia
Australia
Australia
Australia
Australia
Charleston
Charleston
Charleston
Charleston
Charleston
Charleston
Charleston
Charleston
India
India
India
India
India
India
India
India
Malaysia
Malaysia
Malaysia
Malaysia
Malaysia
Malaysia
Malaysia
Malaysia
Mobile
Mobile
Mobile
Mobile
Mobile
Mobile
Mobile
Mobile
Paris
Paris
Paris
Customer Freight & Warehousing Costs (per unit)
Malaysia
$0.27
China
$0.49
France
$0.44
Brazil
$0.52
US Northeast
$0.23
US Southeast
$0.17
US Midwest
$0.15
US West
$0.16
Malaysia
$0.34
China
$0.36
France
$0.40
Brazil
$0.46
US Northeast
$0.80
US Southeast
$0.80
US Midwest
$0.82
US West
$0.81
Malaysia
$0.24
China
$0.46
France
$0.41
Brazil
$0.48
US Northeast
$0.19
US Southeast
$0.13
US Midwest
$0.11
US West
$0.12
Malaysia
$0.26
China
$0.39
France
$0.35
Brazil
$0.64
US Northeast
$0.55
US Southeast
$0.55
US Midwest
$0.57
US West
$0.55
Malaysia
$0.17
China
$0.25
France
$0.39
Brazil
$0.66
US Northeast
$0.39
US Southeast
$0.40
US Midwest
$0.41
US West
$0.40
Malaysia
$0.24
China
$0.46
France
$0.41
Brazil
$0.48
US Northeast
$0.19
US Southeast
$0.13
US Midwest
$0.11
US West
$0.12
Malaysia
$0.32
China
$0.26
France
$0.09
Paris
Paris
Paris
Paris
Paris
S Africa
S Africa
S Africa
S Africa
S Africa
S Africa
S Africa
S Africa
Spain
Spain
Spain
Spain
Spain
Spain
Spain
Spain
Brazil
US Northeast
US Southeast
US Midwest
US West
Malaysia
China
France
Brazil
US Northeast
US Southeast
US Midwest
US West
Malaysia
China
France
Brazil
US Northeast
US Southeast
US Midwest
US West
$0.37
$0.34
$0.34
$0.37
$0.48
$0.58
$0.61
$0.45
$0.25
$0.79
$0.79
$0.80
$0.81
$0.31
$0.37
$0.25
$0.39
$0.48
$0.48
$0.50
$0.51
Customer
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Malaysia
China
France
Brazil
United States
Product
A
A
A
A
A
B
B
B
B
B
C
C
C
C
C
Price / Unit
$12.57
$12.57
$12.72
$11.52
$11.13
$12.33
$12.33
$12.45
$11.28
$10.92
$12.84
$12.84
$12.96
$11.79
$11.40
Plant
Austin
Austin
Austin
Australia
Australia
Australia
Charleston
Charleston
Charleston
India
India
India
Malaysia
Malaysia
Malaysia
Mobile
Mobile
Mobile
Paris
Paris
Paris
S Africa
S Africa
S Africa
Spain
Spain
Spain
Product Variable Cost (per unit)
A
$1.50
B
$1.50
C
$1.56
A
$0.75
B
$0.91
C
$0.89
A
$1.44
B
$1.74
C
$1.70
A
$0.75
B
$0.90
C
$0.88
A
$0.80
B
$0.96
C
$0.95
A
$1.25
B
$1.25
C
$1.65
A
$1.56
B
$1.57
C
$1.55
A
$0.76
B
$0.92
C
$0.90
A
$1.56
B
$1.88
C
$1.86
7/23/22, 4:35 PM
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Chapter 10: Spreadsheet Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
Chapter 10
Spreadsheet Models
Chapter Introduction
10.1 Building Good Spreadsheet Models
Influence Diagrams
Building a Mathematical Model
Spreadsheet Design and Implementing the Model in a Spreadsheet
10.2 What-If Analysis
Data Tables
Goal Seek
Scenario Manager
10.3 Some Useful Excel Functions for Modeling
SUM and SUMPRODUCT
IF and COUNTIF
VLOOKUP
10.4 Auditing Spreadsheet Models
Trace Precedents and Dependents
Show Formulas
Evaluate Formulas
Error Checking
Watch Window
10.5 Predictive and Prescriptive Spreadsheet Models
Chapter Review
Summary
Glossary
Problems
Case Problem Retirement Plan
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7/23/22, 4:35 PM
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Chapter 10: Spreadsheet Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.
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7/23/22, 4:36 PM
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Chapter 12: Linear Optimization Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
Chapter 12
Linear Optimization Models
Chapter Introduction
12.1 A Simple Maximization Problem
Problem Formulation
Mathematical Model for the Par, Inc. Problem
12.2 Solving the Par, Inc. Problem
The Geometry of the Par, Inc. Problem
Solving Linear Programs with Excel Solver
12.3 A Simple Minimization Problem
Problem Formulation
Solution for the M&D Chemicals Problem
12.4 Special Cases of Linear Program Outcomes
Alternative Optimal Solutions
Infeasibility
Unbounded
12.5 Sensitivity Analysis
Interpreting Excel Solver Sensitivity Report
12.6 General Linear Programming Notation and More Examples
Investment Portfolio Selection
Transportation Planning
Maximizing Banner Ad Revenue
12.7 Generating an Alternative Optimal Solution for a Linear Program
Chapter Review
Summary
Glossary
Problems
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Case Problem: Investment Strategy
Chapter 12: Linear Optimization Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.
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Chapter 13: Integer Linear Optimization Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
Chapter 13
Integer Linear Optimization Models
Chapter Introduction
13.1 Types of Integer Linear Optimization Models
13.2 Eastborne Realty, an Example of Integer Optimization
The Geometry of Linear All-Integer Optimization
13.3 Solving Integer Optimization Problems with Excel Solver
A Cautionary Note About Sensitivity Analysis
13.4 Applications Involving Binary Variables
Capital Budgeting
Fixed Cost
Bank Location
Product Design and Market Share Optimization
13.5 Modeling Flexibility Provided by Binary Variables
Multiple-Choice and Mutually Exclusive Constraints
k Out of n Alternatives Constraint
Conditional and Corequisite Constraints
13.6 Generating Alternatives in Binary Optimization
Chapter Review
Summary
Glossary
Problems
Case Problem: Applecore Children’s Clothing
Chapter 13: Integer Linear Optimization Models Chapter Contents
Book Title: Business Analytics
Printed By: Vamsi Krishna Chavidi (vchavidi17@my.trine.edu)
© 2021 Cengage Learning, Cengage Learning
© 2022 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means graphic, electronic, or mechanical, or in any other manner – without the written permission of the copyright holder.
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