Homework answers / question archive / What is the total cost MiniToys

What is the total cost MiniToys

Management

Share With

What is the total cost MiniToys.com incurs in 2019 with the current warehouse arrangement?
2. What is the cost MiniToys.com incurs under the following scenarios in 2020, 2021 and 2022? (a) Keeping the existing large warehouse in St. Kilda with additional warehouses rented all in Melbourne; (b) Keeping the existing large warehouse in St. Kilda with additional warehouses rented in different cities (Note: some of the additional warehouses can be in Melbourne if necessary); and (c) Not keeping the existing large warehouse or using any warehouse in Melbourne but renting new warehouses in other cities.
3. What supply chain network configuration would you recommend for MiniToys.com in the long run based entirely on cost consideration? A year-by-year action plan should be recommended.
4. How would your recommendation change if instead of charging a flat fee of $15 per shipment from the customer, the Australia Post shipment charge is to be borne by the customer? Again, a year-by-year action plan should be recommended.
5. Based on the findings from Questions 3 and 4, do you think MiniToys.com should change the current shipping arrangement to the one being considered? Why?