13. logistical coord & network design
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13. logistical coord & network design






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    13. logistical coord & network design 13. logistical coord & network design Presentation Transcript

      • Logistical Coordination
      • Ensuring a well planned, smooth, uninterrupted and quick flow of materials in the value chain
      • How is this done?
      • Smooth flow of information
      • Smooth flow of inventory
      • Realization is the result
      • Coordination takes place when logistical plans take into account
      • Strategic customer service objectives
      • Constraints to meet the above
      • Net work Analysis (or Location Analysis)
      • What is a network?
      • Location of facilities and routes or links
      • What is network analysis?
      • Study of the locations & links for minimizing logistical costs and or maximizing customer service
      • Some salient features of network design
      • (What decisions are taken in network design?)
      • Number of facilities [factories and warehouses]
      • Their locations
      • Communication systems
      • Activities performed in these facilities, what item (SKU)? Storage? Break bulk?
      • Type of the facility (Who should operate these facilities?)
      • Size of the facility, how big?
      • Factors to be considered in deciding the size
      • Fixed as against random access storage
      • Horizontal versus high rise layout
      • Order picking (large inventory) versus stock replenishment (small inventory) activities
      • Multi-dock versus single dock layout
      • Aisle space? Rack space?
      • Labor intensive or high tech operations, carousals? Robotics?
      • Amount of cross docking
    • Number of facilities, How many?
      • Importance of network analysis & design
      • Logistical network has to respond to market dynamics promptly
      • What are market dynamics?
      • Changing customer service requirements, shorter lead times? Lower costs?
      • Shrinking supplier base
      • Changing customers
      • Shifting locations of customer
      • Changing locations of supply market
      • Change in corporate policies (dropping of products or product variety)
      • 2. Logistical Network influences cost of moving the product to the customer due to its following features
      • Network option
      • Amount of transshipment
      • No of locations
      • Volume of inventory (the square root law)
      • Who operates these facilities? - outsourcing decisions
      • Communication between these facilities, information and inventory
      • 3. L/N influences the Customer service
      • Response time
      • Lead-time
      • Response to competitive action
      • 5. L/N has to accommodate corporate organizational changes such as down sizing and reengineering & globalization
      • Some models for facility location
      • Gravity model
      • Analytical models
      • Ton-mile center