Thursday, November 21, 2019

Distribution center, warehouse, and plant location Essay

Distribution center, warehouse, and plant location - Essay Example In order to know the number of people and their characteristics, census needs to be conducted in such areas. Although the information collected may vary, it still helps the distribution planners to know how to distribute their goods depending on the population size. Most organizations look at a number of characteristics that may affect labor. These factors may be appreciably related; for instance, the amount of the workforce may be directly comparative to wage rates. Transportation availability is an important aspect in facility location decisions. It may also influence the space cost and the availability of labor. Transport availability mostly depends on the kind of products that need to be transported. If the products are bulky, then a lorry can be used, but in case of light products a pickup can be used (Zvi and Hamacher 58). Facility relocation is when a plant is closed from an area where there is low demand to an area where the demand is high while facility closing is when a plant is closed permanently. The companies should form laws on how the employees should be paid if a plant is closed. In case of facility relocation, the wage rates should increase because the demand has also

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