Logistics engineering

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ESAM & SONS LOGISTICS AND DISTRIBUTIONS LTD CASE STUDY SCENARIO LOGISTIC AND DISTRIBUTION ENGINEERING SYSTEMS Kaan Aydin Ataoglu 14123053

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

SCENARIO 1AREA MON TUES WED THU FRI SAT

Cornwall

Nth. Dev

Dorset

Glouces.

H.of ENG

Somerset

SCENARIO 2AREA MON TUES WED THU FRI SAT

Cornwall

Nth. Dev

Dorset

Glouces.

H.of ENG

Somerset

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

Thank You

Appendix

Routes CORNWALL : from

EVESHAM to PENZANCE

• Distance: 276 miles• Time: 6H11 min

RoutesNORTH DEVON : from

EVESHAM to TORQUAY • Distance : 158 miles• Time : 3h20 min

Routes SOUTH DEVON : From

EVESHAM to PLYMOUTH • Distance : 171 miles • Time : 2H56

Routes DORSET : from EVESHAM

to Poole • Distance : 150 miles• Time : 3h17 min

Routes EAST SUSSEX : from

EVESHAM to HASTINGS• Distance : 167 miles• Time : 3h 32 min

Routes GLOUCESTERSHIRE : from

EVESHAM to CIRENCESTER

• Distance : 75.4 miles• Time : 1h 57 min

Routes HEART OF ENGLAND :

from EVESHAM to SHEFFIELD

• Distance : 276 miles• Time : 7h 25 min

Routes SOMERSET : from

EVESHAM to BRIDGEWATER

• Distance : 123 miles• Time :  3 h 10 min