question archive For each of the tasks below, select the most appropriate model from the following: EOQ Model, (Q,R) model, Base-stock model, Generalized Network Flow, Shortest Path, TSP, VRP, Capacitated Facility Location, P-means, P-cover, P-median
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For each of the tasks below, select the most appropriate model from the following: EOQ Model, (Q,R) model, Base-stock model, Generalized Network Flow, Shortest Path, TSP, VRP, Capacitated Facility Location, P-means, P-cover, P-median. Provide an explanation of why you chose the model, and at least one assumption that needs to be made to utilize the model. Each model only appears once. There may be more than one valid answer, focus on the explanation.
(a) Delivery of PPE (personal protective equipment) to states from a centralized federal location.
(b) Reassignment of medical staff and equipment from areas of greater supply to areas of greater demand.
(c) Inspection of medical facilities in several states by a central task force member.
(d) Location of federal production plant for medical equipment.
(e) Inventory policy of a state hospital for specialized medical supplies.
Answer:
a) Delivery of PPE to the states from a centralised federal location can be done through EOQ model. EOQ model (Economic Order Quantity) is the ideal order quantity a state should procure from the centralised federal location to minimize inventory costs such as holding costs, shortage costs, and order costs. Thus, this model ensures that the ordered and the demanded quantities of PPE are provided to states at the minimum cost.
b) Reassignment of the medical staff and equipments from areas of greater supply to areas of greater demand can be accomplished through capacitated facility location wherein the location where the medical staff and equipments that are in abundance can be transferred to the location where there is shortage of the capacity.
c) Inspection of medical facilities in several states by central task force members can be accomplished through base stock method as it is a valuation technique for the inventory asset, where the minimum amount of inventory needed to maintain operations is recorded. Hence, it could be used by central task force members to inspect whether proper inventory of medical facilities are available in several states.
d) For location of federal production plant for medical equipment, shortest path technique can be used which could determine the shortest possible route of the federal production plant by ensuring that the minimum possible cost is incurred.
e) For inventory policy of a state hospital for specialized medical supplies, (Q, R) model can be used as it would help in determining reorder quantity and reorder level for the inventory stocked in the hospital.