• Title/Summary/Keyword: Logistics network design

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A Study on the Decision Support Systems for Logistics Network Design and Planning (물류네트워크 설계 및 계획을 위한 의사결정지원시스템에 대한 연구)

  • Park, Yang-Byung
    • IE interfaces
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    • v.13 no.4
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    • pp.627-638
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    • 2000
  • During last ten years, logistics network management has become one of the most important sources of competitive advantage regarding logistics cost and customer service in numerous business segments. The key to success in this dynamic and severe business environment is the ability to design and plan the logistics network optimally in an integrated way. Network design and planning involves many issues relating to strategic, tactical, and operational decisions. To assist a logistics designer or planner, many computer-based decision support systems (DSS) have been developed. In this paper, the issues related to design, development, and implementation of the DSS for logistics network design and planning are discussed, and an ideal framework of the DSS is proposed with some ideas on the future development. Finally, DLNET, the DSS developed by author, is briefly introduced.

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The Network Design of China's Northeast Cold Chain (중국 동북부지역 콜드체인 네트워크 설계에 관한 연구)

  • Park, Nam-Kyu;Choi, Woo-Young
    • Journal of Fisheries and Marine Sciences Education
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    • v.26 no.4
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    • pp.760-768
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    • 2014
  • Yet logistics base in China has a refrigerated storage facilities installed areas, the number of those is very limited and is generally insufficient. According to these especial points, a new construction cold chain logistics network design strategy is required from how to use the existing refrigerated warehouses to new issue. For example, however refrigerated storage facility is supplied, can it satisfy all demand of this area? Then does it have optimized location of this area? If future demand expansion, adding that already other refrigerated storage facilities matter? Or, add another refrigerated facilities, optimum cold chain established a network matter? So on. Above problems can be occurred. In order to solve facing many of these issues of distribution network, northeast area in China has been selected as a subject, and we designed a new cold chain distribution network.

A Genetic Algorithm Approach for Logistics Network Integrating Forward and Reverse Flows (역물류를 고려한 통합 물류망 구축을 위한 유전 알고리듬 해법)

  • Ko, Hyun-Jeung;Ko, Chang-Seong;Chung, Ki-Ho
    • IE interfaces
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    • v.17 no.spc
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    • pp.141-151
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    • 2004
  • As today's business environment has become more and more competitive, forward as well as backward flows of products among members belonging to a supply chain have been increased. The backward flows of products, which are common in most industries, result from increasing amount of products that are returned, recalled, or need to be repaired. Effective management for the backward flows of products has become an important issue for businesses because of opportunities for simultaneously enhancing profitability and customer satisfaction from returned products. Since third party logistics service providers (3PLs) are playing an important role in reverse logistics operations, they should perform two simultaneous logistics operations for a number of different clients who want to improve their logistics operations for both forward and reverse flows. In this case, distribution networks have been independently designed with respect to either forward or backward flows so far. This paper proposes a mixed integer programming model for the design of network integrating both forward and reverse logistics. Since the network design problem belongs to a class of NP-hard problems, we present an efficient heuristic algorithm based on genetic algorithm (GA), of which the performance is compared to the lower bound by Lagrangian relaxation. Finally, the validity of proposed algorithm is tested using numerical examples.

Model and Algorithm for Logistics Network Integrating Forward and Reverse Flows (역물류를 고려한 통합 물류망 구축에 대한 모델 및 해법에 관한 연구)

  • Ko Hyun Jeung;Ko Chang Seong;Chung Ki Ho
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 2004.10a
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    • pp.375-388
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    • 2004
  • As today's business environment has become more and more competitive, forward as well as backward flows of products among members belonging to a supply chain have been increased. The backward flows of products, which are common in most industries, result from increasing amount of products that are returned, recalled, or need to be repaired. Effective management for these backward flows of products has become an important issue for businesses because of opportunities for simultaneously enhancing profitability and customer satisfaction from returned products. Since third party logistics service providers (3PLs) are playing an important role in reverse logistics operations, the 3PLs should perform two simultaneous logistics operations for a number of different clients who want to improve their logistics operations for both forward and reverse flows. In this case, distribution networks have been independently designed with respect to either forward or backward flows so far. This paper proposes a mixed integer programming model for the design of network integrating both forward and reverse logistics. Since this network design problem belongs to a class of NP-hard problems, we present an efficient heuristic based on Lagrangean relaxation and apply it to numerical examples to test the validity of proposed heuristic.

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A Study on the Outbound Logistics Network Rationalization of Domestic Automobile Industry (국내 완성차 물류 네트워크 합리화 방안 연구)

  • 김대기;조한홍
    • Journal of Distribution Research
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    • v.7 no.1
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    • pp.1-20
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    • 2002
  • Many of logistics-related research in automobile industry has focused on inbound logistics and procurement. Research into outbound logistics is relatively few. As a starting research into outbound logistics in automobile industry, this paper examined its logistics network problems with three aspects - location strategy, inventory strategy and transportation strategy. We proposed alternatives of logistics network design resolution, and presented three practical scenarios based on those alternatives. Based on interview, on-site visit and internal data collection processes, we identified major domestic outbound logistics problems such as redundant logistics bases, inefficient delivery policy, insufficient inventory capacity, inventory stock quality deterioration, inefficient transportation system, and etc. In order to cope with those problems, we proposed such strategic alternatives as introduction of hub-and-spoke system, integration of logistics bases, introduction of (automatic) parking building, diversification of transportation mode, and etc. At the same time, we constructed three practically executable scenarios based on those ideas. The first is "Center Hub" scenario, the second is "Metropolitan Hub" scenario. The third and last scenario is "Regional Consolidation of Warehouses (distribution centers)".

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Multi-Phase Logistics Network Design of Industrail Estate Area (산업단지내 효율적 운송을 위한 다단계 물류네트워크 설계)

  • Kim, Woong-Sub;Shin, Jae Young
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • 2012.10a
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    • pp.84-85
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    • 2012
  • Continuous oil price rising and the regulation of carbon emmission makes companies to have higher competitiveness. because of this trend, companies are trying to establish and manage efficient logistics system to improve customer service and reduce cost, so more competitive logistics complex is needed. To construct this kind of logistics complex, proper policy and logistics system for transportation is necessary. Especially, efficient operation through establishing system of logistics at the complex is very important for low cost and environmental friendly point of view. So this paper presents logistics network operation model for efficient transportation, especially approaches the problem with Multi-Phase.

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Design of Global Port Logistics Network Model Based on Minimum Cost (최소비용 기반 글로벌 항만 물류네트워크 모델 구축)

  • Jang, Woon-Jae;Keum, Jong-Soo
    • Journal of Navigation and Port Research
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    • v.32 no.1
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    • pp.65-72
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    • 2008
  • This study is aimed to contribute in establishing new port policy by research and analysis in design of global port logistics network in the East Asia region. In order to build such port logistics network, 21 ports located in East Asia among the world's 50th largest ports were selected in this study. Furthermore, the amount of container cargo and the ports of call were analyzed to categorize the subject ports in East Asia. Finally, this study tries to find economic network between the base port in East Asia, EU or North America and feeder ports in terms of logistics cost. As a result, Singapore, Hong Kong, Shanghai, and Busan ports were found as the representative ports in the East Asia that may connect North America and Europe with the minimum logistics expenses. Therefore, to maintain the stable cargo volume in ports, Korea should promote not only the overseas terminal operation which links to the Singapore, Hong Kong, and Shanghai ports, but also establish the global port logistic network connecting the Busan port.

A study on the introduction effect of supply chain strategies using the analysis of enterprise logistics (기업 물류비용의 실증적 분석을 통한 공급사슬 전략의 도입 효과분석)

  • Lee, Jeong;Jeong, Seok-Jae;Kim, Gyeong-Seop
    • Proceedings of the Korean Operations and Management Science Society Conference
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    • 2007.11a
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    • pp.482-487
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    • 2007
  • As the importance of logistics is increasing, Enterprises design the supply chain(SC) network to minimize the total costs considering inventory holding cost, transportation cost and apply the efficient strategies of supply chain based on SC network Calculating the logistics costs without reflecting the logistics components like the packaging cost, transportation related cost, storage cost, loading & unloading cost, and distribution costs, the companies should have many limitation to calculate the logistics cost of real enterprise and install the SC network reducing them. Therefore, this research is aimed at establishing SC strategies which can be an efficient alternative for a decision making on supply chain, based on existing reference and current logistics networks of 'L' company in Korea and analyzing interaction effects between strategies and influence on logistics cost by these strategies. As the method of analysis, we analyze the interaction effects between strategies as well as install the optimal SC network reflecting concrete logistics components from the viewpoint of total logistics costs. we expect that analysis method of this paper would be applied various industries and used the efficient tools for the decision mating by planing and execution of the logistics budget from enterprises.

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A Study on International Logistics Network Simulation based on CIS region (CIS지역 생산제품의 글로벌 판매물류 네트워크 시뮬레이션 연구)

  • Nam, Sang-Sin;Kang, Kyung-Sik
    • Journal of the Korea Safety Management & Science
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    • v.17 no.4
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    • pp.259-273
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    • 2015
  • CIS nations are recognized as an emerging market recently because there are abundant natural resources and a lot of investment demand. Furthermore, they are located in the middle of Europe and Asia and that make them have more strategic importance as a logistics hub. So many global companies including domestic ones began to advance into the on-site. and this tendency will be strong. On the contrary, a research in logistics environment of CIS has rarely been done. This paper provides a way of systematic approach to design logistics network in CIS with real business case and shows the analyzed result of optimization simulation that includes factors having a huge influence on the overall logistics cost.