Which of the following need to be considered when selecting the location of the new facility?

ANTA Logistics is looking for a place to build a new, integrated cold chain facility, “Chill Hub”, to its customers.

Which of the following need to be considered when selecting the location of the new facility? Select TWO that apply.
A . Availability of the building
B . Ease of objective forecasting on inventory level
C . Volume of obsolescent stock
D . Accessibility to roads and highways
E . Availability of product coding system

Answer: A, D

Explanation:

There are many different factors that must be considered when assessing warehouse and stock locations:

• Operating cost of the location or area

• Availability and suitability of warehouses

• Availability of manpower or labour

• Proximity to suppliers and customers

• Access to transport infrastructure (domestic and international)

• The political and security environment of the location

LO 1, AC 1.1