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LOCATION
SELECTION
OF
BEVERAGE
DISTRIBUTION
CENTER
USING
A
MATHEMATICAL
MODELING
CONSIDERING
TRANSPORTATION
LOGISTIC
COSTS
คณะวิทยาศาสตร์
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LOCATION SELECTION OF BEVERAGE DISTRIBUTION CENTER USING A MATHEMATICAL MODELING CONSIDERING TRANSPORTATION LOGISTIC COSTS

Innovation Owner

PC

นางสาว Pornpimol Chaiwuttisak

Advisor

Details

This research aims to select the optimal location for the beverage distribution center of Thai Spirit Industry Co., Ltd. to minimize total transportation costs using a mathematical model and IBM ILOG CPLEX software across four different scenarios.

This research aims to select the location of the beverage distribution center of Thai Spirit Industry Co., Ltd. with the lowest total cost of transportation using a mathematical model by considering the Muang districts of all 76 provinces, excluding Chachoengsao Province, where the factory is located. In the present study, four scenarios were divided:

    1. When only one distribution center was required.
    1. When more than one distribution center was established.
    1. When it was divided into 4 regions, with only one distribution center in one region.
    1. When it is divided into four regions, where more than one distribution center can be established in one region.

When processed with the program IBM ILOG CPLEX Optimization Studio, the results are summarized as follows:

  • Scenario 1: The total transportation cost is 786,107.75 baht/month.
  • Scenario 2: The total transportation cost is 252,338.98 baht/month.
  • Scenario 3: The total transportation cost is 401,499.61 baht/month.
  • Scenario 4: The total transportation cost is 258,666.22 baht/month.
LOCATION SELECTION OF BEVERAGE DISTRIBUTION CENTER USING A MATHEMATICAL MODELING CONSIDERING TRANSPORTATION LOGISTIC COSTS
LOCATION SELECTION OF BEVERAGE DISTRIBUTION CENTER USING A MATHEMATICAL MODELING CONSIDERING TRANSPORTATION LOGISTIC COSTS
LOCATION SELECTION OF BEVERAGE DISTRIBUTION CENTER USING A MATHEMATICAL MODELING CONSIDERING TRANSPORTATION LOGISTIC COSTS

Objective

The objectives are to develop a mathematical model for selecting optimal distribution center locations, analyze the lowest transportation cost scenarios, and evaluate model outcomes under changing constraints and parameters.

  1. Create a mathematical model to select the appropriate location for the distribution center.
  2. Analyze the appropriate distribution center location using a mathematical model under the condition of the lowest total transportation cost.
  3. Analyze the results from the model when constraints and parameters change.