A location-inventory model for large three-level supply chains

Tancrez, Jean‐Sébastien; Lange, Jean-Charles; Semal, Pierre

doi:10.1016/j.tre.2011.10.005

Cited by 92 publications

(46 citation statements)

References 36 publications

(37 reference statements)

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“…al. [13] developed a model that integrates decisions regarding the selection of the location of distribution centres, the allocation flows and the size of individual shipments. The aim of the model is to facilitate the choice of suitable distribution centres that effectively connect the locations of production facilities with the locations of final customers.…”

Section: Review Of the Literature Related To Selecting A Warehouse Lomentioning

confidence: 99%

Identifying Warehouse Location Using Hierarchical Clustering

Škerlič¹,

Muha²

2017

Transport Problems

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Summary. Identifying the optimal warehouse location involves a series of qualitative and quantitative factors. The purpose of this study was to use hierarchical clustering to identify the optimal location for a warehouse, which would ensure the lowest cost, a high level of quality in supplying customers and connect the selling and purchasing activities of the businesses operating in the Slovenian automotive industry into a system. The study also aims to demonstrate the applicability of the selected method for identifying warehouse locations in more demanding cases because the very process of identifying a location is dependent upon a company's logistic strategy. The advantage of the method used in this study is that it enables the user to use a combination of the data that is the most important for a company in a given period as well as consistent with the company's chosen business strategy. WYBÓR LOKALIZACJI MAGAZYNU Z WYKORZYSTANIEM METODY GRUPOWANIA HIERARCHICZNEGOStreszczenie. Wybór optymalnej lokalizacji magazynu jest zależny od różnych czynników jakościowych i ilościowych. Wykorzystując metodę grupowania hierarchicznego, chcieliśmy określić optymalną lokalizację magazynu, która gwarantuje najniższe koszty, wysokiej jakości obsługę klientów i łączy w spójny system sprzedażową i nabywczą działalność przedsiębiorstw w słoweńskim przemyśle motoryzacyjnym. W badaniu chcieliśmy również udowodnić, że wybrana metoda ma zastosowanie przy wyborze bardziej wymagającego miejsca magazynowania, ponieważ sam proces wyboru lokalizacji jest podporządkowany strategii logistycznej danego przedsiębiorstwa. Zaletą wykorzystanej metody jest to, że umożliwia ona zastosowanie kombinacji tych danych, które w danym okresie są dla przedsiębiorstwa najważniejsze oraz zgodne z wybraną strategią.

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Section: Review Of the Literature Related To Selecting A Warehouse Lomentioning

confidence: 99%

Identifying Warehouse Location Using Hierarchical Clustering

Škerlič¹,

Muha²

2017

Transport Problems

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“…This relationship allows for the costs of inventory and warehousing to be kept at a minimum. Tancrez et al [28] developed a model that combines the decisions regarding the choice of location for the distribution centres, the distribution of goods flows, and the size of individual shipments. The objective of the model is the choice of appropriate distribution centres that effectively connect the location of production facilities to the locations of final customers.…”

Section: Review Of the Literature In The Field Of Logistics Cost Modelsmentioning

confidence: 99%

A decision-making model for controlling logistics costs

2016

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Original scientific paper A lack of understanding of logistics costs, particularly in terms of their integrity and interdependence, allows for the interests of individual departments within a company, which are not always in line with the common interests of the business process of the company, to take precedence over necessary logistics cost planning. In order to address this problem, we have developed a model that takes into account all the logistical costs within a company and represents an important decision-making tool that can be used by employees at different levels of the organization, covering different business functions. We have tested the model on a specific product in a company that operates in the automotive industry and determined that the model enables us to have greater control over logistics costs and improves the quality of information on logistics costs. Keywords: decision making; knowledge transfer; logistics cost; logistics cost models Model odlučivanja za kontrolu logističkih troškovaIzvorni znanstveni članak Nedostatno poznavanje logističkih troškova, posebice u pogledu njihove cjelovitosti i međusobne ovisnosti, vodi do toga da na štetu nužnog planiranja logističkih troškova prevagnu interesi pojedinačnih službi unutar poduzeća koji nisu u skladu s općim interesima poslovnog procesa poduzeća. Suočeni s tim problemom izradili smo model koji uzima u obzir sve logističke troškove u jednom poduzeću i koji predstavlja važno oruđe odlučivanja za zaposlenike svih razina i funkcija. Taj model smo testirali na specifičnom proizvodu jednog poduzeća iz automobilske industrije i ustanovili da nam on omogućava veću kontrolu nad logističkim troškovima i poboljšava kvalitetu informacija o logističkim troškovima.

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“…He focused on the order variability under different order lot sizes without considering shipping cost and location capacity in a single level system from suppliers to end customers. Tancrez et al [2] introduced a three-level supply chain model which considered shipment size. The three-level supply network model has fixed locations and fixed constant production and demand rate.…”

Section: Simulation Of Shipping Size Effects For Transportation and Omentioning

confidence: 99%

Simulation of Shipping Size Effects for Transportation and Order Quantity in a Supply Chain

Lee¹,

Farahmand²

2013

JCEA

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This paper investigated the interaction effects between inventory and transportation strategies in the logistics network. Demand volumes and shipping sizes were simulated as part of a new conceptual model using a discrete event simulation by minimizing the total logistics cost in the supply chain. The experiments indicate that the full truckload scenario leads to cost efficiency and the larger demand size results in smaller cost per unit based on economies of scale. Considering the interaction effects, demand size has a greater impact on cost reduction than shipping size. The total logistics cost in the system is dependent on replenishment rate and flow rates from the higher to the lower echelon. High inventory cost is the result of a fast replenishment rate and frequent orders, while shipping cost is dependent on the flow rates in a process and total travelling time or total travelling distance. Shipping size also has an impact on the level of service and the total cost along with effective order variability.

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A location-inventory model for large three-level supply chains

Cited by 92 publications

References 36 publications

Identifying Warehouse Location Using Hierarchical Clustering

Identifying Warehouse Location Using Hierarchical Clustering

A decision-making model for controlling logistics costs

Simulation of Shipping Size Effects for Transportation and Order Quantity in a Supply Chain

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