This text provides informative, short introductions to the core concepts of Operations Management. This text contains more than 50 concept entries and is fully cross-referenced.An outstanding reference for Operations Management students at all levels. 



Location decisions deal with determining where a facility should be located.

Nature of Location Decisions

As there is usually some uncertainty regarding future demographic and economic cycles, the answer to a location problem is not always straightforward. The complexity of location decisions is due to several reasons:

  • The decision involves a number of quantitative (e.g. distance) and qualitative (e.g. quality of life at location) variables: These need to be combined together for the best decision outcome. Although specific techniques can be used to overcome these issues and rank the different decision variables, there may be several problems when groups of managers have to make such decisions: personal preferences, different perspectives, different weights put on different decision variables, etc.
  • The decision is strategic in nature: Whereas the location of ...
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