Business
Business, 25.07.2020 20:01, tdahna0403

Josephine Mater works for the supply-chain analytics division of Trader Joe's, a national chain of specialty grocery stores. Trader Joe’s is considering a redesign of its supply chain. Josephine knows that Trader Joe's uses frequent truck shipments from its distribution centers to its retail stores. The file TraderJoes contains data on the location of Trader Joe's retail stores. To keep costs low, retail stores are typically located near a distribution center. Normalize the values of the input variables to adjust for the different magnitudes of the variables. Josephine would like to use k-means clustering to estimate the location and number of Trader Joe's distribution centers (information on Trader Joe's distribution centers is not publicly disclosed). Refer to the Appendix for instructions on how to perform k-means clustering method using the Analytic Solver Platform. In the k-means Clustering – Step 2 of 3 dialog box, be sure to use Normalize input data. Set the # Clusters: to 8 and the # Iterations: to 10. Choose 10 Random starts: and Set seed: to 12345. Click on the datafile logo to reference the data. (a) Find the number of retail stores for Trader Joe's distribution centers. If the constant is "1" it must be entered in the box. Distribution Center Number of Retail Stores 1 2 3 4 5 6 7 8

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