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Facility Location Considerations (Operations) - Explained

What are the considerations for facility location?

Written by Jason Gordon

Updated at April 9th, 2022

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Table of Contents

What are the Considerations for a Facility Location?

What are the Considerations for a Facility Location?

Facility location considerations include:

  • Proximity to Customers: This relates to the cost of delivery of product or service. 
  • Proximity to suppliers: This involves the need for raw materials and resources.  It also involves logistics channels and costs. 
  • Proximity to labor: This involves population, skills, and wage/benefit costs. 
  • Government policy: This involves zoning laws, tax policies, activity regulations, etc. 
  • Availability of the necessary infrastructure: This involves access to usable space, logistics systems, etc. 
facility location

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