An analysis of international transportation network

This thesis discusses a network design problem based on a case study with a footwear company, which intends to minimize total supply chain costs by establishing a distribution network which bypasses its primary distribution center (DC). Through the new network, called the DC bypass network, the company ships products directly from its Asian factories to a logistics hub at an entry port in the US and then on to customers, a particular group of chosen customers. We assess the project by comparing costs derived from a baseline and optimization model. A baseline model represents the company's existing logistics network while optimization models capture future supply chains with different scenarios. The models convert a real supply chain network into the relationships between nodes and links. Nodes indicate facilities while links refer to the flow of the product. In brief, this case study is about how a company evaluates its transportation network. Methods to determine a specific location or multiple locations for the DC bypass operations are discussed. Furthermore, the robustness of an optimal solution will be measured through a sensitivity analysis. Other benefits include the reduction of lead time is discussed in the further research.

Department dc:contributor.department

Massachusetts Institute of Technology. Engineering Systems Division.

Grantor dc:publisher

Massachusetts Institute of Technology

Year dc:date.issued

2005

Author dc:creator

• Chiu, Yu-Yen

Advisor dc:contributor.advisor

• Christopher Caplice.

• Engineering Systems Division.

Statement dc:rights

• M.I.T. theses are protected by copyright. They may be viewed from this source for any purpose, but reproduction or distribution in any format is prohibited without written permission. See provided URL for inquiries about permission.

Licence dc:rights.uri

• http://dspace.mit.edu/handle/1721.1/7582

Language dc:language.iso

eng

Handle dc:identifier.uri

http://hdl.handle.net/1721.1/33728

OAI identifier oai:identifier

oai:dspace.mit.edu:1721.1/33728