solution

The Bennet Company purchases one of its essential raw materials from three suppliers.? Bennet’s current policy is to distribute purchases equally among the three suppliers. The? owner’s son, Benjamin? Bennet, just graduated from a business college. He proposes that these suppliers be rated? (high numbers mean a good? performance) on six performance criteria weighted as shown in the table. A total score hurdle of 0.60 is proposed to screen suppliers. Purchasing policy would be revised to order raw materials from suppliers with performance scores greater than the total score? hurdle, in proportion to their performance rating scores.

			Rating
Performance Criterion	Weight	Supplier A	Supplier B	Supplier C
1. Price	0.3	0.4	0.6	0.9
2. Quality	0.2	0.7	0.9	0.5
3. Delivery	0.2	0.3	0.6	0.9
4. Production facilities	0.1	0.9	0.4	0.5
5. Environmental protection	0.1	0.6	0.8	0.5
6. Financial position	0.1	0.8	0.9	0.7

Use a preference matrix to calculate the total weighted score for each supplier.

a. The weighted score for Supplier A is ___

? b. The weighted score for Supplier B is ____

c. The weighted score for Supplier C is _____

d. Which? supplier(s) survived the total score? hurdle?

Under the younger? Bennet’s proposed? policy, what proportion of orders would each supplier? receive?

a. Supplier A would receive ___

b. Supplier B would receive ____

c. Supplier C would receive ____