Lauren Industries wants to open a warehouse in the U.S. northwest. The location
ID: 419838 • Letter: L
Question
Lauren Industries wants to open a warehouse in the U.S. northwest. The location factors, weights, and potential locations are shown below.
Location Factor
Weight
Olympia
Salem
Boise
Helena
0.25
80
100
90
87
0.20
80
85
100
82
0.15
100
88
92
100
0.25
91
100
80
90
0.15
85
88
100
91
Calculate the total weighted-factor score for Salem.
Location Factor
Weight
Olympia
Salem
Boise
Helena
Land Availability/Cost0.25
80
100
90
87
Area Population0.20
80
85
100
82
Quality of Life0.15
100
88
92
100
Labor Availability0.25
91
100
80
90
Proximity to Major Highway0.15
85
88
100
91
Explanation / Answer
b. 93.4
Land Availability = 100*0.25 = 25
Area Population = 85*0.2 = 17
Quality of life = 88*0.15 = 13.2
Labor Availability = 100*0.25 = 25
Proximity to major highway = 88*0.15 = 13.2
Weighted Factor Score = Sum of all the products
= (25+17+13.2+25+13.2)
= 93.4
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