Operation Management

Operation Management
Name
MGT 2005: Operations Management
Institution
Dr Jelena Vlajic
Date
        
The management of the company LOGOS is considering to advise opening a new showroom with big storage for IKEA, their important client, and they hired your team to evaluate the proposed locations and provide a recommendation about the most suitable location.Qb) By using the method you described in the part a), evaluate potential locations for IKEA’s new showroom. Potential locations are marked in yellow colour and defined within each sub-question.Qb1) Location in Cork, Ireland; an option is to lease a building of Musgrave Retail Partners Ireland/Centra (Google Maps)IKEA’s new showroom Cork, Ireland
Cork is the second-largest city in Ireland, and there is good infrastructure and this makes it an ideal location for leasing a building of Musgrave Retail Partners Ireland/Centra. The geographical location is an important part of the strategic decision, vital for its viability. The decision will depend on certain factors that can favour or derail the present and future economic activity of the company in a certain locality, municipality, zone, or region. There is close proximity to the market, existing suppliers, and customers. There is a large number of establishments that provide varied products and services but the high cost, including rental costs in the retail sector, may affect future business. While there is access to labour, there is a high cost to labour in one of the expensive cities in Ireland. The quality of labour plays an essential role in achieving the company's strategic objectives. Having quality workers and professionals committed to the goals of the company help improve productivity and competitiveness.
Qb2) Location in Douglas, Isle of Man; an op...