The Cost Minimization Model in Warehouse Distribution System

Syed Abdul Rehman Khan; Yu Zhang

doi:doi:10.11648/j.ijmfs.20170305.13

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The Cost Minimization Model in Warehouse Distribution System

Syed Abdul Rehman Khan, Yu Zhang

Published in International Journal of Management and Fuzzy Systems (Volume 3, Issue 5)

Received: 13 August 2017 Accepted: 31 August 2017 Published: 8 November 2017

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Abstract

In today’s world, warehousing and distribution centres play a vital role to fulfil customer demand and requirement. Firms cannot ignore the importance of warehouse and distribution centres. In addition, firms are using DCs (distribution centres) and warehouses for valuation addition purposes such as, postponement strategies, break-bulking, consolidation, and packing and packaging etc. This research aim is to develop a model to reduce warehouse cost and increase or improved customer service. The results and discussions with personnel’s of distribution department seem to offer a lesson. It is that, though human distribution “optimizers” out of necessity, must concentrate their efforts on maintaining the most economical primary shipment transportation system, a mechanical “optimizer” like as MODS (model of optimizing distribution centres) is able to find out and determine the most economical system from the standpoint of whole the relevant costs to be considered.

Published in	International Journal of Management and Fuzzy Systems (Volume 3, Issue 5)
DOI	10.11648/j.ijmfs.20170305.13
Page(s)	75-79
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2017. Published by Science Publishing Group

Keywords

Warehousing, Distribution Centres, MODS, Transportation Routes

References

[1]	Atkins, Robert J. and Shriver, Richard H., (1968), “New approach to facilities location” Harvard Business Review Vol. 46, No. 03.
[2]	Kuehn, Alfred A. and Hamburger, Michael J., (1963), “A Heuristic Program for Locating Warehouses,” Management Science Vol. 9, No. 4.
[3]	Cooper, Leon, (1972), “The transportation-location problem,” Operations Research Vol. 20, No. 1.
[4]	Devine, M. D. and Lesso, W. G., (1972), “Models for minimum cost development of Offshore oil fields,” Management Science Vol. 18, No. 8.
[5]	Feldman, E., Lehrer, F. A., and Ray, T. L., (1966), “Warehouse Location under Continuous Economies of Scale,” Management Science Vol. 12, No. 9.
[6]	Khumawala, Basheer M., (1972), “An Efficient Branch and Bound Algorithm for the Warehouse Location Problem,” Management Science Vol. 18, No. 12.
[7]	Michael, George C., (1972), “A Review of Heuristic Programming,” Decision Sciences Vol. 3, No. 3.
[8]	Revelle, Charles, Marks, David, and Liebman, Jon C., (1970), “An Analysis of Private and Public Sector Location Models,” Management Science Vol. 16, No. 11.
[9]	Whybark, D. Clay and Khumawala, Basheer M., (1972), “A Survey of Facility Location Problems,” Krannert Graduate School of Industrial Administration Institute paper Series No. 350, Purdue University.
[10]	Khan, S. A. R., Dong, Q. L., & Yu, Z. (2016). Research on the Measuring Performance of Green Supply Chain Management: In the Perspective of China. International Journal of Engineering Research in Africa, 27, 167–178. https://doi.org/10.4028/www.scientific.net/JERA.27.167
[11]	Khan, S. A. R., & Qianli, D. (2017). Impact of green supply chain management practices on firms’ performance: an empirical study from the perspective of Pakistan. Environmental Science and Pollution Research. https://doi.org/10.1007/s11356-017-9172-5
[12]	Khan, S. A. R., Qianli, D., Song Bo, W., Zaman, K., & Zhang, Y. (2017). Environmental logistics performance indicators affecting per capita income and sectoral growth: evidence from a panel of selected global ranked logistics countries. Environmental Science and Pollution Research, 24(2), 1518–1531. https://doi.org/10.1007/s11356-016-7916.

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APA Style

Syed Abdul Rehman Khan, Yu Zhang. (2017). The Cost Minimization Model in Warehouse Distribution System. International Journal of Management and Fuzzy Systems, 3(5), 75-79. https://doi.org/10.11648/j.ijmfs.20170305.13

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ACS Style

Syed Abdul Rehman Khan; Yu Zhang. The Cost Minimization Model in Warehouse Distribution System. Int. J. Manag. Fuzzy Syst. 2017, 3(5), 75-79. doi: 10.11648/j.ijmfs.20170305.13

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AMA Style

Syed Abdul Rehman Khan, Yu Zhang. The Cost Minimization Model in Warehouse Distribution System. Int J Manag Fuzzy Syst. 2017;3(5):75-79. doi: 10.11648/j.ijmfs.20170305.13

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@article{10.11648/j.ijmfs.20170305.13,
  author = {Syed Abdul Rehman Khan and Yu Zhang},
  title = {The Cost Minimization Model in Warehouse Distribution System},
  journal = {International Journal of Management and Fuzzy Systems},
  volume = {3},
  number = {5},
  pages = {75-79},
  doi = {10.11648/j.ijmfs.20170305.13},
  url = {https://doi.org/10.11648/j.ijmfs.20170305.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijmfs.20170305.13},
  abstract = {In today’s world, warehousing and distribution centres play a vital role to fulfil customer demand and requirement. Firms cannot ignore the importance of warehouse and distribution centres. In addition, firms are using DCs (distribution centres) and warehouses for valuation addition purposes such as, postponement strategies, break-bulking, consolidation, and packing and packaging etc. This research aim is to develop a model to reduce warehouse cost and increase or improved customer service. The results and discussions with personnel’s of distribution department seem to offer a lesson. It is that, though human distribution “optimizers” out of necessity, must concentrate their efforts on maintaining the most economical primary shipment transportation system, a mechanical “optimizer” like as MODS (model of optimizing distribution centres) is able to find out and determine the most economical system from the standpoint of whole the relevant costs to be considered.},
 year = {2017}
}

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TY  - JOUR
T1  - The Cost Minimization Model in Warehouse Distribution System
AU  - Syed Abdul Rehman Khan
AU  - Yu Zhang
Y1  - 2017/11/08
PY  - 2017
N1  - https://doi.org/10.11648/j.ijmfs.20170305.13
DO  - 10.11648/j.ijmfs.20170305.13
T2  - International Journal of Management and Fuzzy Systems
JF  - International Journal of Management and Fuzzy Systems
JO  - International Journal of Management and Fuzzy Systems
SP  - 75
EP  - 79
PB  - Science Publishing Group
SN  - 2575-4947
UR  - https://doi.org/10.11648/j.ijmfs.20170305.13
AB  - In today’s world, warehousing and distribution centres play a vital role to fulfil customer demand and requirement. Firms cannot ignore the importance of warehouse and distribution centres. In addition, firms are using DCs (distribution centres) and warehouses for valuation addition purposes such as, postponement strategies, break-bulking, consolidation, and packing and packaging etc. This research aim is to develop a model to reduce warehouse cost and increase or improved customer service. The results and discussions with personnel’s of distribution department seem to offer a lesson. It is that, though human distribution “optimizers” out of necessity, must concentrate their efforts on maintaining the most economical primary shipment transportation system, a mechanical “optimizer” like as MODS (model of optimizing distribution centres) is able to find out and determine the most economical system from the standpoint of whole the relevant costs to be considered.
VL  - 3
IS  - 5
ER  -

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Author Information

Syed Abdul Rehman Khan

School of Economics and Management, Chang’an University, Xi’an, China
Yu Zhang

School of Economics and Management, Chang’an University, Xi’an, China

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APA Style

Syed Abdul Rehman Khan, Yu Zhang. (2017). The Cost Minimization Model in Warehouse Distribution System. International Journal of Management and Fuzzy Systems, 3(5), 75-79. https://doi.org/10.11648/j.ijmfs.20170305.13

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ACS Style

Syed Abdul Rehman Khan; Yu Zhang. The Cost Minimization Model in Warehouse Distribution System. Int. J. Manag. Fuzzy Syst. 2017, 3(5), 75-79. doi: 10.11648/j.ijmfs.20170305.13

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AMA Style

Syed Abdul Rehman Khan, Yu Zhang. The Cost Minimization Model in Warehouse Distribution System. Int J Manag Fuzzy Syst. 2017;3(5):75-79. doi: 10.11648/j.ijmfs.20170305.13

Copy | Download

@article{10.11648/j.ijmfs.20170305.13,
  author = {Syed Abdul Rehman Khan and Yu Zhang},
  title = {The Cost Minimization Model in Warehouse Distribution System},
  journal = {International Journal of Management and Fuzzy Systems},
  volume = {3},
  number = {5},
  pages = {75-79},
  doi = {10.11648/j.ijmfs.20170305.13},
  url = {https://doi.org/10.11648/j.ijmfs.20170305.13},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijmfs.20170305.13},
  abstract = {In today’s world, warehousing and distribution centres play a vital role to fulfil customer demand and requirement. Firms cannot ignore the importance of warehouse and distribution centres. In addition, firms are using DCs (distribution centres) and warehouses for valuation addition purposes such as, postponement strategies, break-bulking, consolidation, and packing and packaging etc. This research aim is to develop a model to reduce warehouse cost and increase or improved customer service. The results and discussions with personnel’s of distribution department seem to offer a lesson. It is that, though human distribution “optimizers” out of necessity, must concentrate their efforts on maintaining the most economical primary shipment transportation system, a mechanical “optimizer” like as MODS (model of optimizing distribution centres) is able to find out and determine the most economical system from the standpoint of whole the relevant costs to be considered.},
 year = {2017}
}

Copy | Download

TY  - JOUR
T1  - The Cost Minimization Model in Warehouse Distribution System
AU  - Syed Abdul Rehman Khan
AU  - Yu Zhang
Y1  - 2017/11/08
PY  - 2017
N1  - https://doi.org/10.11648/j.ijmfs.20170305.13
DO  - 10.11648/j.ijmfs.20170305.13
T2  - International Journal of Management and Fuzzy Systems
JF  - International Journal of Management and Fuzzy Systems
JO  - International Journal of Management and Fuzzy Systems
SP  - 75
EP  - 79
PB  - Science Publishing Group
SN  - 2575-4947
UR  - https://doi.org/10.11648/j.ijmfs.20170305.13
AB  - In today’s world, warehousing and distribution centres play a vital role to fulfil customer demand and requirement. Firms cannot ignore the importance of warehouse and distribution centres. In addition, firms are using DCs (distribution centres) and warehouses for valuation addition purposes such as, postponement strategies, break-bulking, consolidation, and packing and packaging etc. This research aim is to develop a model to reduce warehouse cost and increase or improved customer service. The results and discussions with personnel’s of distribution department seem to offer a lesson. It is that, though human distribution “optimizers” out of necessity, must concentrate their efforts on maintaining the most economical primary shipment transportation system, a mechanical “optimizer” like as MODS (model of optimizing distribution centres) is able to find out and determine the most economical system from the standpoint of whole the relevant costs to be considered.
VL  - 3
IS  - 5
ER  -

Copy | Download