2017
DOI: 10.4102/sajbm.v48i1.22
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A supply chain management model to optimise the sorting capability of a ‘third party logistics’ distribution centre

Abstract: In this paper, the process flow within a high-end 3PL distribution centre is studied in order to determine the optimal split between the parcel size categories moved within the system. The article considers the application of an optimisation (MIQP) model with a corresponding discrete event simulation model to validate the authenticity of the solution. The study assumes that the current process flow and layout of the centre remains fixed; the entering and exiting routes to and from the centre and the centre its… Show more

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Cited by 8 publications
(3 citation statements)
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“…Many examples of the use of simulations in logistics and activities are published in the publications. The authors Yadavalli et al (2017), in their work, provide an outline of a solution to the problem facing 3PL (logistics sorting as a service), who process different types of packages within their distribution centres. In their work, they dealt with the application of a technique that provides assistance in making the optimal capacity of equipment for sorting the types of consignments to ensure that the company retains transparency and the ability to continuously meet the expectations of customers and the agreements prescribed.…”
Section: Literature Reviewmentioning
confidence: 99%
“…Many examples of the use of simulations in logistics and activities are published in the publications. The authors Yadavalli et al (2017), in their work, provide an outline of a solution to the problem facing 3PL (logistics sorting as a service), who process different types of packages within their distribution centres. In their work, they dealt with the application of a technique that provides assistance in making the optimal capacity of equipment for sorting the types of consignments to ensure that the company retains transparency and the ability to continuously meet the expectations of customers and the agreements prescribed.…”
Section: Literature Reviewmentioning
confidence: 99%
“…Such a company will ensure customer satisfaction mainly by fast delivery, suitable packaging of the consignment and, last but not least, the lowest price. This is why it is crucial to continually improve said company's logistics processes [4,5]. In a delivery company, every process is closely linked; it must therefore respond flexibly to every change and error in the process [6].…”
Section: Introductionmentioning
confidence: 99%
“…Most researchers agree that strategic management of logistics solutions under current conditions should be carried out considering the influence of the disturbance flow on the performance of logistics processes, which requires the use of appropriate management models (Christopher, 2011;Gavrilova et al, 2014;Sergeyev, 2016;Śliwczyński, 2010;Yadavalli & Balcou, 2017). The decision-making process should be based on monitoring and analysis of environmental factors, identifying cause-effect relationships and the degree of their influence on resulting indicators of logistics processes.…”
Section: Theoretical Basismentioning
confidence: 99%