(Solved Homework): 4. Why are most location decisions analyzed by a team of managers instead…

4. Why are most location decisions analyzed by a team of managers
instead of a single person? What types of teams are suggested as being
helpful to the task of logistics network redesign?

Expert Answer


Deciding a location could be a very tough task and also very essential task for a company. Allocation for the companies warehouse or a manufacturing facility could include various departments in it. A single person can only handle a single department or maybe he can handle more than 1 departments but efficiently handling all the departments of the building and looking at the all the aspects which is geographical, environmental or maybe cultural, an individual can easily be confused and this would result in a huge loss for the company as well.
In 18 a team, different people with different thinking abilities as well as the specialities are included that increases the overall efficiency of thinking as well as Idea generation of the team.
Multiple people in the teams can go at the multiple locations or can be present at a site at multiple places for a better coordination between the team members which would directly affect the overall time management and it will also save the time which would directly reduce the cost.

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It’s always good to work with many brains in deciding a location rather than working on individuals ideology. Deciding a location should be done on the basis of common opinion of the team members.

For logistic network design the most helpful teams would be finance team, marketing team and production team which is directly related to the logistics process and have a very large effect on the overall Logistic network design.

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