Logistics

809 views

Published on

AACIMP 2009 Summer School lecture by Emilio Francis Riccio. "Logistics" course. 1st - 2nd hour.

Published in: Education, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
809
On SlideShare
0
From Embeds
0
Number of Embeds
53
Actions
Shares
0
Downloads
44
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

Logistics

  1. 1. NOW FOR THE REAL ECONOMY LOGISTICS is NOT about transportation; it IS about providing!
  2. 2. THE DEVIL IS IN THE DETAILS! • For want of a nail the shoe was lost. • For want of a shoe the horse was lost. • For want of a horse the rider was lost. • For want of a rider the battle was lost. • For want of a battle the kingdom was lost. • And all for the want of a horseshoe nail!
  3. 3. LOGISTICS deals with details, including problem details in depth. Problem factors present in most LOGISTICS operations may be referred to by the acronym RAM-T: R) Reliability: Can the product or instrument mentioned be relied upon to perform at all times and under all conditions? A) Availability: How much time elapses between the time of delivery and the time the product has been assembled adequate to do the job? M) Maintainability: Can the product be returned to near its original level of efficiency and reliability by careful and timely maintenance regime? T) Transportability: Can the product be transported by normal means?
  4. 4. SIX SIGMA APPROACH TO PROBLEM SOLVING & PROJECT MANAGEMENT • DEFINE the problem • MEASURE the problem • ANALYZE the problem • IMPROVE the situation • CONTROL the situation
  5. 5. SEA FREIGHT AIR FREIGHT Ocean Freight charges 4205Air freight 8894 Pre-carriage to Port of Loading 3800 Pier Delivery at Port 421Airport delivery 150 Forwarding Fees 125 35 Insurance 1200 25 Customs formalities 125 90 Pier pick-up Port of Discharge 300Final delivery 100 On-carriage inland dest. 350 TOTAL DDU 10525 9294
  6. 6. FIRST 12 MONTHS A COSTS B COSTS PLANNED MAI NT S 45 PER MO 540 30 PER MO 360 DOWNTIME 5HRS/MO(d)SlOO/hr 6000 2HRS/MO 2400 PETROL S 300 PER MO 3600 240 PER MO 2850 TOTAL FIRST YEAR   10140   5640 SECOND YEAR         THIRD SIX MONTHS         PLANNED MAINT 45 PER MO 270 30 PER MO 180 DOWNTIME 5 HRS/MO 3000 2 HRS/MO 1200 ENERGY CONSUMP 300 PER MO 1800 240 PER MO 1440 FOURTH SIX MONTHS         PUNNED MAINT 45 PER MO 270 30 MR MO 1811 DOWNTIME 5 HRS/MO 3000 2 HRS/MO   ENERGY CONSUMP 300 PER MO 1800 140 PER MO 1440 UNPLANNED MAIN 3HRS 1800     TOTAL SECOND YEAR   11940   5640 THIRD YEAR         PLANNED MAINT 45 PER MO 540 30 PER MO 180 DOWNTIME 5 HRS/MO 6000 2 HRS/MO 1200 ENERGY CONSUMP S 320 PER MO 3840 240 PER MO 1440 UNPLANNED MAIN 5 MRS 6000 2 HRS/MO 2400 TOTAL THIRD YEAR   16380   5220 FOURTH YEAR         RE-SALE   -300   -3000 PLANNED MAINT         DOWNTIME         ENERGY CONSUMP         TOTAL FOURTH YEAR   -800   -3000 ONE-TIME EXPENSES   17000   25000 TOTAL LIFE CYCLE EXPENSES 37660   13500 TOTAL COST OF OWNERSHIP 54660   38500
  7. 7. FORMULA: EOQ = √2PD/CV Where: • P = ordering cost (dollars per order) • D = annual demand or usage of product (number of units) • C = annual inventory carrying cost (as a percentage of product cost or value) • V = average cost or value of one unit of inventory.
  8. 8. EOQ CALCS Order Qty # of orders Cost of order Inventory Total   (D/Q) P*(D/Q) 1/2Q*C*V   40 120 4,800 500 5,300 60 80 3,200 750 3,950 80 60 2,400 1,000 3,400 100 48 1,920 1,250 3,170 120 40 1,600 1,500 3,100 140 35 1,400 1,750 3,150 160 30 1,200 2,000 3,200 200 24 960 2,500 3,460 300 16 640 3,750 4,390 400 12 480 5,000 5,480

×