CHAPTER FIVE
Case Questions (see corresponding Chapter 5 case Excel spreadsheet)
1. What is the annual cost if Lightning uses the current network (with warehouses
specialized as in Table 5-17) optimally to meet European demand?
2. Should Simone make all warehouses flexible given the additional cost of 200,000
euro per year?
3. What supply chain network do you recommend for the long term if demand is as
in Table 5-16? Should any warehouses be closed? Should any warehouses see
their capacity doubled?
4. What supply chain network configuration do you recommend for the long term if
the Northeast and Southeast demand is expected to increase by 30 percent while
all other demands remain as in Table 5-16? Should any warehouses be closed?
Should any warehouses see their capacity doubled?