• Title/Summary/Keyword: Distribution Cost

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Determination of the Transportation Cycle Time and the Vehicle Size in a Distribution System (물류시스템에서 수송주기와 차량크기의 결정)

  • Chang Suk-Hwa
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.27 no.4
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    • pp.23-32
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    • 2004
  • This paper addresses a model for the transportation planning that determines the transportation cycle time and the vehicle size to minimize the cost in a distribution system. The vehicle routing to minimize the transportation distance of the vehicles is also determined. A distribution system is consisted of a distribution center and many retailers. Products are transported from distribution center to retailers according to transportation planning. A model is assumed that the time horizon is continuous and infinite, and the demand of retailers is constant and deterministic. Cost factors are the transportation cost and the inventory cost, which the transportation cost is proportional to the transportation distance of vehicle when products are transported from distribution center to retailers, and the inventory cost is proportional to inventory amounts of retailers. A transportation cycle time and a vehicle size are selected among respective finite alternatives. The problem is analyzed, and a illustrative example is shown.

An Economic Life Test Sampling Plan for Repairable Products with Exponential Interfailure Time Distribution

  • Kwon, Young Il
    • Journal of Korean Society for Quality Management
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    • v.21 no.1
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    • pp.108-120
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    • 1993
  • In this article an economic life test sampling plan is considered for repairable products when the products in each lot have the same interfailure time distribution, but the mean time between failure (MTBF) of a lot varies from lot to lot according to a known prior distribution. A cost model is constructed which consists of test cost, accept cost, and reject cost. Determination of the optimal plan which minimizes the expected average cost per lot is discussed. Numerical examples are presented to illustrate the use of the proposed sampling plans and sensitivity analyses for parameters of the prior distribution are performed.

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Evaluation of the Interruption Cost of Distribution Power Systems Considering the Failure Source and the Composite Customer Interruption Cost

  • Park, Sang-Bong;Nam, Kee-Young;Kim, Dae-Kyeong;Jeong, Seong-Hwan
    • KIEE International Transactions on Power Engineering
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    • v.3A no.3
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    • pp.124-129
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    • 2003
  • As the power industry moves towards open competition, there has been a call for methodology to evaluate power system reliability by using composite interruption cost. This paper presents algorithms to evaluate the interruption cost of distribution power systems by taking into consideration the failure source and the composite customer interruption cost. From the consumer's standpoint, the composite customer interruption cost is considered as the most valuable index to estimate the reliability of a power distribution system. This paper presents new algorithms that take into account the load by customer type and failure probability by distribution facilities while calculating the amount of unserved energy by customer type. Finally, evaluation results of unserved energy and system interruption cost based on composite customer interruption cost are shown in detail.

A Study on the Presumption of Proper Construction Cost of Distribution Facilities by Analyzing Actual Construction Cost (실적공사비 분석을 통한 유통시설물의 적정공사비 추정에 관한 연구)

  • Go, Seong-Seok;Kim, Hyun-Sik;Lee, Hyun-Chul
    • Korean Journal of Construction Engineering and Management
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    • v.9 no.3
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    • pp.108-117
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    • 2008
  • The appearance of the large distribution facility of large enterprise putting first reaches get to the various effect until change of leisure life and life pattern of the consumers from the distribution industry of the interior of a country. Competition of the distribution facility upgrade of the distribution facility and it shows the aspect which becomes the semi-department store, and construction cost is appearing different in proportion to each form or scale. Therefore, purpose of this study was to facilitate amicable construction progress between the owner and the builder through estimating the proper construction cost. This study investigated and analyzed the actual cost of 15 domestic distribution facilities and these datums were used to estimate the proper construction cost. This cost shows that from new project accomplishment through analysis of prediction construction cost for feasibility study from initial plan and design step and can be utilizable elementary data bH decision method to whether or not to propriety of distribution facilities business.

The Economic Design of the Multi-stage Distribution System Using Different Supplier according to Order Size (주문크기에 따라 다른 공급처를 이용하는 다단계 물류시스템의 경제적 설계)

  • 장석화
    • Journal of Korean Society of Industrial and Systems Engineering
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    • v.26 no.1
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    • pp.85-94
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    • 2003
  • In this paper, a mathematical model is developed for economic design of multi-stage distribution system that consists of factory, central distribution centers, local distribution centers and retailers. The retailers are supplied products from different stage suppliers according to order size. The retailers are supplied products from factory if demand amount is large, central distribution center if medium, local distribution center if small. The economic design is to determine the economic size of facility factors that consist of distribution system. The cost factors are transportation cost from supply places to demand places, handling cost at distribution centers and inventory holding cost at retailers. It is to determine the transportation route of each retailer, the size and number of the vehicle at factory and distribution centers, the handling amount at distribution centers in order to minimize the total costs. The mathematical model is represented, the solution procedure is developed, and a numerical example is shown.

Study on Influence of Standardization of Agricultural Product Packages on Cost in Hypermarekts

  • Shin, Hyeong-Jin;Lee, Sang-Youn
    • Journal of Distribution Science
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    • v.8 no.4
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    • pp.35-41
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    • 2010
  • Although dictionary definition of standardization is 'to prevent disordered complexity and to make and use rules for reasonable simplification or unification, from a position of shop-floor operations of distribution, it is directly connected to efficiency, that is 'productivity equals cost savings'. This study analyzed influence of standardization of agricultural product packages in hypermarkets on costs in stakeholders of distribution channel such as suppliers, distribution centers and hypermarkets. The research findings demonstrated that it would influence manufacturing costs of suppliers and improve shop productivity of hypermarkets.

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Evaluation of the Reliability of Distribution Power Systems Considering Composite Customer Interruption Cost

  • Choi Sang-Bong;Nam Kee-Young;Kim Dae-Kyeong;Jeong Seong-Hwan;Lee Jae-Duk;Ryoo Hee-Suk
    • KIEE International Transactions on Power Engineering
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    • v.5A no.3
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    • pp.286-292
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    • 2005
  • As the power industry moves towards open competition, there has been a call for methodology to evaluate power system reliability by using composite interruption cost. This paper presents algorithms to evaluate the interruption cost of distribution power systems by taking into consideration the failure source and the composite customer interruption cost. From the consumer's standpoint, the composite customer interruption cost is considered as the most valuable index to estimate the reliability of a power distribution system. This paper presents new algorithms that consider the load by customer type and failure probability by distribution facilities while calculating the amount of unserved energy by customer type. Finally, evaluation results of unserved energy and system interruption cost based on composite customer interruption cost are shown in detail.

Economic Evaluation far the Application of the Distribution Automation System (배전자동화시스템 적용을 위한 경제성 평가)

  • Hong, Soon-Hak;Ha, Bok-Nam;Kim, Ho-Yong;Jung, Kyung-Hee
    • Proceedings of the KIEE Conference
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    • 1993.07a
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    • pp.36-38
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    • 1993
  • This study considers the economic aspect of the distribution automation system, which is the decision-making criteria of the electric utilities for the investment. The feeder automation candidate region is divided into two types of the urban and the rural. The total investment cost of the feeder automation for each type is estimated. The annual cost, is also estimated, by finding the fixed charge rate. To compare the annual cost and the economic effect cost, for the investment decision-making, the costs are quantitatively estimated on the following effects : the manpower replacement, the outage cost saving, the main transformer utilization improvement, the feeder utilization improvement, and the line loss reduction.

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The Characteristics of the Repair Cost Distribution in Apartment Housing

  • Lee, KangHee;Chae, ChangU
    • KIEAE Journal
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    • v.15 no.6
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    • pp.19-26
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    • 2015
  • Purpose: The repair would require to conserve and improve the building function and performance since built. Each household is responsible for maintaining the public facilities and paying the required cost. Therefore, it needs to get the tool or method to forecast the required cost in the future. Before the repair cost is provided, it needs to catch the repair cost distribution and provide the unit cost for the repair cycle. In this study, it aimed at providing the repair cost unit and analyzing the repair cost distribution in a roof proofing work, elevator work and building painting, which are divided into a fully work and partly change. Results of this study are shown that first, the average repair cost for roof proofing work is provided with $166.59{\times}10^3won/household$ and $1.59{\times}10^3won/m^2$ of a full change, $33.22{\times}10^3won/household$ and $0.33{\times}10^3won/m^2$ for a partly work. In addition, elevator work is $557.45{\times}10^3won/household$ and $5.38{\times}10^3won/m^2$ for a full change, $32.92{\times}10^3won/household$ and $0.56{\times}10^3won/m^2$ for a partly repair. Painting has a $304.48{\times}10^3won/household$ and $2.94{\times}10^3won/m^2$. Second, the distribution pattern of repair unit cost has a weibull-typed distribution which has a long tail to the right.

On the Cost Analysis of Container Physical Distribution System in Pusan Port (부산항 컨테이너 물류 시스템의 비용분석에 관하여)

  • 박창호;이철영
    • Journal of the Korean Institute of Navigation
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    • v.15 no.3
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    • pp.13-24
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    • 1991
  • This paper aims to determining the optimal capacity of Pusan port in view point of Container Physical Distribution cost. It has been established a coast model of the container physical distribution system in Pusan port is composed of 4 sub-systems and in-land transport system. Cargo handling system, transfer & storage system and in-land transport system, and analyzed the cost model of the system. From this analysis, we found that the system had 7 routes including in-land transport by rail or road and coastal transport by feeder ship between Pusan port and cargo owner's door. Though railway transport cost was relatively cheap, but, it was limited to choose railway transport routes due to the introducing of transport cargo allocation practice caused by shortage of railway transport capacity. The physical distribution ost for total import & export container through Pusan port was composed of 4.47% in port entring cost, 12.98% in cargo handling cost, 7.44% in transfer & storage cost and 75.11% in in-land transport cost. Investigation in case of BCTOC verified the results as follows. 1) The optimal level of one time cargo handling was verified 236VAN (377TEU) and annual optimal handling capacity was calculated in 516, 840VAN(826, 944TEU) where berth occupancy is $\rho$=0.6 when regardless of port congestion cost, 2) The optimal level of one time cargo handling was verified 252VAN (403TEU) and annual optimal handling capacity was calculated in 502, 110VAN (803, 376TEU) where berth occupancy is $\rho$=0.58 when considering of port congestion cost.

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