HPCL: Retail Network Expansion for Navigating Energy Transition

內容大綱
The chief general manager (Retail) at Hindustan Petroleum Corporation Limited (HPCL) was reviewing the sites that had been shortlisted for network expansion. The company needed to select three sites out of six on the short list where it could expand its retail operations. Traditionally, the sales potential for HPCL’s main products—motor spirit and high-speed diesel—was an overarching factor for site selection. However, the company had to also now take into account the strategic requirement to expand the current retail fuel network while considering the energy transition as well as other growth avenues. As such, the network expansion strategy and site selection process had to be in alignment with the aspirational targets set by the company. For selecting the most suitable sites, a set of criteria was identified that aligned with HPCL’s targets. However, no single shortlisted site provided the maximum benefit across all criteria, so selecting the right sites for expansion would be a difficult task.
學習目標
The case is suitable for graduate and undergraduate courses in operations management, operations research, operations strategy, and business analytics.<br><br>Through analysis of this case, students have the opportunity to do the following:<ul><li>Incorporate an organization’s strategic objectives into decision-aiding models.</li><li>Compare and contrast taking a single objective approach and multiple objectives approach in decision-making.</li><li>Understand and apply a goal programming model for considering multiple conflicting objectives in the decision-making process.</li><li>Develop an optimization template and apply software program Microsoft Excel Solver to determine the network selection under multiple scenarios.</li></ul>
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