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ALX Part3

Hamed Jalali

Created on April 7, 2024

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Transcript

SCM simulation

Network optimization in ALX
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Based on your ALX results, please answer the following questions

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start

Question 1

What is the optimal profit now?

► 19 487 446

► 23 236 274

► 44 623 075

► 43 444 231

Congratulations!

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Question 2

Go to Storage by Product table, iteration 1 (optimal design). What is the ending inventory of bicycle "tour" in Winter?

► 0

► 1890

► 10 000

► 1525

Congratulations!

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Question 3

Go to Storage by Product table, iteration 1 (optimal design). What is the initial inventory of bicycle "tour" in Spring?

► 0

► 1890

► 10 000

► 1525

Congratulations!

Indeed, ending inventory of a period = initial inventory of the next one

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Further observations

  • Storage by product (iteration 1): For Czech In Flow = Out Flow because it is a Distribution Center and ALX assumes it doe s not keep inventory
  • Storage by product: For factories, we have: Storage + Out Flow = Production. Example: Winter, Poland, Tour
1525 + 4725 = 6250 (compare with Production Flow table)
  • If you check your data, you realize that the Polish and German factories do not have a carrying cost (= inventory cost). Introducing an inventory cost changes the optimal results

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