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    Chapter 7. Transportation

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    Thương Võ Thị

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    Chapter 7. Transportation

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    7 views21 pages

    Chapter 7. Transportation

    Uploaded by

    Thương Võ Thị

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
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    UNIVERSITY OF ECONOMIC AND LAW

    Course

    LOGISTICS

    Instructor: Dr. Nguyễn Duy Quang


    Email: quangnd@uel.edu.vn
    2024

    Vrije Universiteit Amsterdam


    CHAPTER 7. TRANSPORTATION

    Contents
     Roles of transportation
     Relationships between transportation and logistics
     Transportation modes
     Introduction to linear programming

    Vrije Universiteit Amsterdam


    ROLE OF TRANSPORTATION

    The physical movement of materials between points in the supply


    chain
     Transport principles:
    o Economy of scale

    o Economy of distance

     Transportation members:
    o Shippers and Consignees

    o Carriers and Agents

    o Owners and operators of transportation infrastructure

    o Transportation policy makers


    Vrije Universiteit Amsterdam
    RELATIONSHIPS BETWEEN TRANSPORTATION AND LOGISTICS

    • Transportation costs and facility locations


    • Inventory requirements and transport mode
    • Transport mode and packaging
    • Type of carrier and material handling equipment
    • Shipment consolidation and shipment size
    • Customer service goals and type/quality/service of carrier

    Vrije Universiteit Amsterdam


    TRANSPORT RATE AND TARIFF

     Transport rate
     Tariff
     Minimum charge
     Surcharge
     Commodity
     Freight-All-Kind (FAK)
     Demurrage
     Detention

    Vrije Universiteit Amsterdam


    MODES OF TRANSPORT

     Air
     Package carrier
     Road
     Rail
     Water
     Pipeline

    INTERMODAL – MULTI-MODAL TRANSPORT

    Vrije Universiteit Amsterdam


    ATTRIBUTES AFFECTING THE CHOICE OF TRANSPORT MODE

     Cost
     Speed
     Reliability
     Capability
     Capacity
     Flexibility
     Value of materials
     Importance
     Security
     Special facilities available

    Vrije Universiteit Amsterdam


    DIRECT SHIPMENT NETWORK TO A SINGLE DESTINATION

    Source: Chopra and Meindl (2016)

    Vrije Universiteit Amsterdam


    DIRECT SHIPPING WITH MILK RUNS

    Source: Chopra and Meindl (2016)

    Vrije Universiteit Amsterdam


    ALL SHIPMENTS VIA INTERMEDIATE CENTER WITH STORAGE/CROSS-DOCKING

    Source: Chopra and Meindl (2016)

    Vrije Universiteit Amsterdam


    SHIPPING VIA DC USING MILK RUNS

    Source: Chopra and Meindl (2016)

    Vrije Universiteit Amsterdam


    INTRODUCTION TO LINEAR PROGRAMING – EXERCISE 1

    A model consists of linear relationships representing decisions, given


    an objective and resource constraints

    Resource Requirements
    Labor Clay Profit
    Product (hr./unit) (kg/unit) ($/unit)
    Bowl 1 4 40
    Mug 2 3 50
    40 hrs of labor available per day
    120 kgs of clay

    Vrije Universiteit Amsterdam


    MODEL (EXERCISE 1)

     Decision variables
     Objective function
     Constraints

    Vrije Universiteit Amsterdam


    EXERCISE 2

    A retailer ships smartphones from three warehouses to three stores on a monthly


    basis. Each warehouse has an amount of supply per month, and each store has a
    fixed demand per month. The retailer wants to know the number of smartphones to
    ship from each warehouse to each store in order to minimize the total cost of
    transportation.

    Warehouse Supply (units) Unit transportation cost


    1 300
    2 200 To store
    3 200 From warehouse A B C
    1 $16 $18 $11
    2 $14 $12 $13
    Store Demand (units)
    3 $13 $15 $17
    A 150
    B 250
    C 200

    Vrije Universiteit Amsterdam


    EXERCISE 3

    A retailer ships smartphones from three warehouses to three stores on a


    monthly basis. Each warehouse has a fixed supply per month, and each store
    has a fixed demand per month. However, each warehouse does not need to
    ship smartphones to all three stores per month. Please find the number of
    smartphones to be shipped from warehouses to stores in order to minimize
    the total cost of transportation.

    Warehouse Supply (units) Unit transportation cost


    1 150
    2 175 To store
    3 275 From warehouse A B C
    1 $6 $8 $10
    Store Demand (units) 2 $7 $11 $11
    A 200 3 $4 $5 $12
    B 100
    C 300

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam


    EXERCISE 4 (THE SHORTEST ROUTE PROBLEM)

    Source: Chinneck (2000)

    Vrije Universiteit Amsterdam

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