Homework: Location Decisions using Data and GIS
Length: 2 to 4 pages.
Background: The textbook reading included the topic of location decisions. Whether it is deciding on a warehouse, distribution center, store front, or manufacturing facility, management must consider input costs including transportation, wages, and prices of other resources. Gathering information and applying GIS tools can support a geospatial, data-driven strategy in identifying potential locations.
For this homework, consider a business expansion need. This could be for a store location or any of the other reasons provided above. You may want to consider the current firm you work for, a franchise, or a potential business need in your community.
Directions:
a. Read chapter 12.3 "Location Decisions" in your textbook and the document from ESRI "GIS and Location Analytics Drive Business" provided in Homework.
b. Watch the YouTube video "Esri 2014 UC: Starbucks Coffee and IT" from the ESRI 2014 User Conference. The presentation includes the Director of Development and Engagement from Starbucks. In the video he provides insight into the GIS tools and data that support the innovative strategies implemented at the world's largest coffeehouse chain.
Deliverable: In a Word document, provide the following:
A. Introduction: Provide a brief overview of the business expansion you have in mind. Identify the type of expansion and the location(s) you are considering. You might want to consider explaining your role as management and ultimately who would be responsible in your firm for selecting the location.
B. Body/Analysis: Identify what data you would prefer to have available when considering the new location. Be sure to relate your data needs to the resources and factors mentioned in the textbook. You do not need to find this data but consider what might be available. One example for retail locations might be population density.
In addition to the type of data, you might want to consider the following in your paper:
a. What could the data show to support a favorable decision?
o Example could be that some retailers locate near competitors (Lowe's and Home Depot), while others might search for new markets.
b. What might the data show to reject the location?
c. How would this new location benefit the firm?
d. How could marginal analysis be used (benefit vs. cost)?
e. Other economic variables you can think of?
o Taxes, economic development incentives, etc.?
Remember, given GIS tools you will want to be specific about locations. For this example, it could be a specific street corner, city, or county.
C. Conclusion: Summarize your research and findings regarding the use of GIS tools. Given the data and tools you identified, would you feel more confident making a location decision as manager?
Format your homework according to the give formatting requirements:
a. The answer must be double spaced, typed, using Times New Roman font (size 12), with one-inch margins on all sides.
b. The response also includes a cover page containing the title of the homework, the course title, the student's name, and the date. The cover page is not included in the required page length.
c. Also include a reference page. The references and Citations should follow APA format. The reference page is not included in the required page length.