Intel Logistics - Designing Cost-Effective Distribution Strategies for Intel's Proposed Ultra Low-Cost PC Chip Line

Of the five finalists, the winning team included Siddharth Coelho-Prabhu, Arpit Dharia, Akshay Kotak, Jason Kumar, Shyam Mehta, and Ranjini Ragunathan with adviser John Vande Vate who worked on a project with Intel titled, Designing Cost-Effective Distribution Strategies for Intel's Proposed Ultra Low-cost PC Chip Line. The aim of this project was to provide Intel with strategic intuition of the cost-effective distribution of its proposed Ultra Low-cost PC chips. Given the strategic nature of the project the team designed a model that made minimal parametric assumptions, modeling inventory using Brownian motion. The team then developed a set of decision-mailing tools that illustrate the relationships between demand conditions and transportation rates, supply strategies, systems performance and bottom line costs.