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Distribution center

About: Distribution center is a research topic. Over the lifetime, 2001 publications have been published within this topic receiving 19454 citations.


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Journal ArticleDOI
TL;DR: A distribution center (DC) location model that incorporates working inventory and safety stock inventory costs at the distribution centers that incorporates transport costs from the suppliers to the DCs that explicitly reflect economies of scale through the use of a fixed cost term is introduced.
Abstract: We introduce a distribution center (DC) location model that incorporates working inventory and safety stock inventory costs at the distribution centers. In addition, the model incorporates transport costs from the suppliers to the DCs that explicitly reflect economies of scale through the use of a fixed cost term. The model is formulated as a non-linear integer-programming problem. Model properties are outlined. A Lagrangian relaxation solution algorithm is proposed. By exploiting the structure of the problem we can find a low-order polynomial algorithm for the non-linear integer programming problem that must be solved in solving the Lagrangian relaxation subproblems. A number of heuristics are outlined for finding good feasible solutions. In addition, we describe two variable forcing rules that prove to be very effective at forcing candidate sites into and out of the solution. The algorithms are tested on problems with 88 and 150 retailers. Computation times are consistently below one minute and compare favorably with those of an earlier proposed set partitioning approach for this model (Shen, 2000; Shen, Coullard and Daskin, 2000). Finally, we discuss the sensitivity of the results to changes in key parameters including the fixed cost of placing orders. Significant reductions in these costs might be expected from e-commerce technologies. The model suggests that as these costs decrease it is optimal to locate additional facilities.

591 citations

Journal ArticleDOI
Chen-Tung Chen1
TL;DR: A new multiple criteria decision-making method is proposed to solve the distribution center location selection problem under fuzzy environment and the ratings of each alternative and the weight of each criterion are described by linguistic variables which can be expressed in triangular fuzzy numbers.

422 citations

Journal ArticleDOI
TL;DR: Results show that batching of orders yield the greatest savings particularly when smaller order sizes are common, and the use of either a class-based or volume-based storage policy provides nearly the same level of savings as batching, while being less sensitive to the average order size.

375 citations

Journal ArticleDOI
TL;DR: The PLOT (Production, Logistics, Outbound, Transportation) design system is described, which generates globally feasible, near optimal distribution system design and utilization strategies utilizing the simulated annealing (SA) methodology.

351 citations

Journal ArticleDOI
TL;DR: In this paper, a case study using actual RFID data collected by a major retailer for the cases shipped by one of its major suppliers is presented, where the physical layout of the RFID readers on a partial supply-chain covering product movement from distribution centers to retail stores.
Abstract: Mostly fueled by mandates, adoption, and implementation of the RFID, technology in the retail industry is growing rapidly. At these early stages of adoption, one puzzling issue for retailers and suppliers is the compelling business case for RFID. In order to explore the potential business case for RFID, we conducted a case study using actual RFID data collected by a major retailer for the cases shipped by one of its major suppliers. We show the physical layout of the RFID readers on a partial supply-chain covering product movement from distribution centers to retail stores. First, in the analysis phase, we identify several performance metrics that can be computed from the RFID readings. Next, using this RFID data, we compute the values of those performance metrics. These values represent mean time between movements at different locations. Then, we discuss how these measures can assist in improving logistical performance at a micro supply chain level of operations between a distribution center and a retail store. We present how such information can be valuable to both the retail store operator and the supplier. We also discuss the initial lessons learned from actual RFID data collected in the field, in terms of data quality issues.

344 citations


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Performance
Metrics
No. of papers in the topic in previous years
YearPapers
202316
202260
202181
202093
2019101
2018103