Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Rao Technologies, a California-based high-tech manufacturer, is considering outs

ID: 394648 • Letter: R

Question

Rao Technologies, a California-based high-tech manufacturer, is considering outsourcing some of its electronics production. Four firms have responded to its request for bids, and CEO Mohan Rao has started to perform an analysis on the scores his OM team has entered in the table below Click the icon to view the tabl Weights are on a scale from 1 through 30, and the outsourcing provider scores are on a scale of 1 through 5. The weight for the labor factor is shown as a w because Rao's OM team cannot agree on a value for this weight. In the following table, the weighted score is computed for each candidate Weighted Score of Weight A Selection Criterion Labor Quality Procedures Logistics System Price Trustworthiness Technology in place Management Team Total Weighted Score of last 6 criteria 30 25 15 120 15 125 20 75 45 400 90 15 125 10 75 60 375 60 25 75 20 45 90 315 150 100 60 30 370 15 When w 0, the highest score is achieved by

Explanation / Answer

When w = 0, weighted scores on labour for all the 4 options ( i.e. A through D ) will be ZERO .

In such case ,

Total score for A = 400

Total score for B = 375

Total score for C = 370

Total score for D = 315

Therefore, highest score is achieved by A

WHEN w = 0 , HIGHEST SCORE IS ACHIEVED BY A

WHEN w = 0 , HIGHEST SCORE IS ACHIEVED BY A