Design of Supply Chain Network to Optimize Transportation Cost

Abstract

Supply chain management SCM has becoming a topic of critical importance for both and formulated as linear programming problems with costs of transportation that arise companies and researchers today. Supply chain optimization problems are considered in several real-life applications. This project work develops linear programming method for solving the cost-related problems. The proposed method attempts to optimize the total transportation costs with reference to available resources (trucks) in the company, as well as at each transhipment point. Sensitivity Analysis SA was employed to investigate how a change in the model data changes the optimal solution. An industrial case is used to demonstrate the feasibility of the applying LP method to a real transportation problem. This project will enable companies to take advantage of this opportunity to improve on their supply chain