Logistics engineering
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Transcript of Logistics engineering
ESAM & SONS LOGISTICS AND DISTRIBUTIONS LTD
CASE STUDY SCENARIOLOGISTIC AND DISTRIBUTION
ENGINEERING SYSTEMS
Kaan Aydin Ataoglu 14123053
Introduction- Based in the Vale of Evesham.
- Reliable service 6 days a week.
- Warehouses are located. - Cornwall - North and South Devon - Dorset - East Sussex - Gloucestershire - Heart of England - Somerset
Table of contents
•Main factors•Current issues• Assumptions
▫Routes ▫Outsourcing ▫Scenario 1▫Scenario 2
Main factors associated
•Distribution service throughout the UK.•Strong links with customers and
suppliers.•Service of six days a week.•Own fleet of vehicles.•Subcontract with others transports
providers.•New computer transport schedule.
Current issues
• Increased cost of the fuel price.
How will the transport planner reduce the cost of transportation regarding the increase of fuel price ?
Assumptions
•Short routes •Outsource areas•Allocate one truck to one area with
multiple stops.
Scenario 1 : daily delivery Scenario 2 : delivery every 2 days
Routes
Trade routes Distance Time
CORNWALL : EVESHAM to PENZANCE 276 miles 6 hours 11 minutes
NORTH DEVON : EVESHAM to TORQUAY 158 mil 3 hours 20 minutes
SOUTH DEVON : EVESHAM to PLYMOUTH 171 miles 2 hours 56 minutes
DORSET : EVESHAM to Poole 150 mile 3 hours 17 minutes
Trade routes Distance Time
EAST SUSSEX : EVESHAM to HASTINGS 167 miles 3 hours 32 minutes
GLOUCESTERSHIRE : EVESHAM to CIRENCESTER 75.4 miles 1 hours 57 minutes
HEART OF ENGLAND : EVESHAM to SHEFFIELD 276 miles 7 hours 25 minutes
SOMERSET : EVESHAM to BRIDGEWATER 123 miles 3 hours 10 minutes
Routes
Outsourcing
Subcontracts can be made with some of the best transport providers in the area for those we do not reach.
EAST SUSSEX SOUTH DEVON
Area Numbers of warehouses
Capacity of trucks (approximately)
SCENARIO 1 SCENARIO 2
Cornwall 7 12T-14T 16T-18T
North Devon
3 7;5T 10T-12T
Dorset 3 7.5T 10T-12T
Gloucestershire
2 3.5T 7.5T
Heart of England
11 16T-18T 26T
Somerset 3 7.5T 10T-12T
Cost of fuel (Scenario 1)
Area Truckdistance from
EVESHAMAverage
mileage (mpg)COST OF
FUEL (p.a)
Cornwall 12T-14T 276 13 61399,80346
North Devon 7.5T 158 16 28558,69481
Dorset 7.5T 150 16 27112,68495Gloucestershir
e 3.5T 75,4 26 8386,857211
H of England 16T-18T 276 12 66516,45374
Somerset 7.5T 123 16 22232,40166
1 GALLON = 4,546 L
PETROL PRICE (ppl) 9/10/2014 101,95
Cost of fuel (Scenario 2)
Area Truckdistance from
EVESHAMAverage
mileage (mpg)COST OF
FUEL (p.a)
Cornwall 16T-18T 276 12 33258,23
North Devon 10T-12T 158 13 17574,58
Dorset 10T-12T 150 13 16684,73Gloucestershir
e 7.5T 75,4 16 6814,32
H of England 26T 276 10 39909,87
Somerset 10T-12T 123 13 13681,48
1 GALLON = 4,546 L
PETROL PRICE (ppl) 9/10/2014 101,95
ConclusionTotal cost of fuel per scenario :
Scenario 1: 214,206.87Scenario 2: 127,923.21
ESAM&Sons Distribution should adopt the 2nd scenario:
- Respect of time delivery- Less cost of fuel