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Amazon.com Supply Chain Intern Interview Question

"You have 3 warehouses. Warehouse A, Warehouse B, and Warehouse C. Place them anywhere and tell me why."
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Consider that warehouse A is located at (x,y)

Calculate the lead time for serving DC1 at (x1,y1) from a warehouse (co-ordinates (x,y)) - this parameter is L1 (Optional: Rule out all the lead times that are greater than a pre-decided lead time)
Add the demand forecast for the DC1 as to the total demand served D.

Repeat this exercise for all DCs. Optimize this model for maximizing D and minimizing lead time L. You will decide where you place warehouse 1.
Repeat the same exercise for W2 and W3 - make sure you zero the demand for all DCs served by W1 and then for W3 - W1 and W2.
- Tejas on Jun 19, 2014 Flag Response

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