Outline. Network Design Decisions. Logistics and Supply Chain Management. Factors Influencing Network Design Decisions.

Transcription

1 Logstcs ad Supply Cha Maagemet Network Desg 1 Outle A strategc framework for faclty locato Mult-echelo hl etworks Gravty methods for locato Plat locato models Chopra ad Medl (2006) Supply Cha Maagemet: Strategy, Plag ad Operato. Pretce Hall Pearso Educato Amr Samm Cvl Egeerg Departmet, Sharf Uversty of Techology 2 Network Desg Decsos Faclty role Faclty locato Capacty allocato Market ad supply allocato 3 Factors Ifluecg Network Desg Decsos Strategc Techologcal l Macroecoomc Poltcal Ifrastructure Compettve Logstcs ad faclty costs 1

2 Strategc Factors Techologcal Factors 4 Classfcato of possble strategc roles: 1. Offshore faclty: low-cost faclty for export producto. 2. Source faclty: low-cost faclty for global producto. 3. Server faclty: regoal producto faclty. 4. Cotrbutor faclty: regoal producto faclty wth developmet sklls. 5. Outpost faclty: regoal producto faclty bult to ga local sklls. 6. Lead faclty: faclty that leads developmet ad process techologes. 5 If producto techology dsplays sgfcat ecoomes of scale: A few hgh-capacty locatos are most effectve. A maufacture of computer chps What about Coca-Cola? Macroecoomc Factors Poltcal Factors 6 Tarffs ad Tax Icetves Tarffs Tax cetves Free trade zoes Exchage Rate ad Demad Rsk Fluctuatos exchage rates (Ye 1980 s) Flexblty producto 7 Poltcally stable coutres Rules of commerce ad owershp are well defed. Idepedet ad clear legal systems Frms feel they have recourse the courts should they eed t. Hard to quatfy Frms make subjectve evaluatos. 2

3 Ifrastructure Factors Compettve Factors 8 Avalablty of stes, Lb Labor avalablty, lblt Proxmty to trasportato termals, Ral servce, Proxmty to arports ad seaports, Hghway access, ad cogesto, Local utltes. 9 Cosder compettors' strategy, sze, ad locato. Locate a faclty close to compettors or ot? Postve Exteraltes Betwee Frms: Competg stores a mall make t more coveet for customers. Presece of a compettor may lead to the developmet of frastructure a area. Locatg to Splt the Market If frms compete o prce ad customer pays for trasportato cost. Logstcs Costs Factors The Cost-Respose Tme Froter 10 Compaes must cosder vetory, trasportato, ad faclty costs whe desgg ther supply cha etworks. Also flueced by the trasformato occurrg at each faclty. Iro ore s processed to make steel. 11 H Cost Local FG Mx Regoal FG Local WIP Cetral FG Cetral WIP Cetral lraw Materal ad dcustom producto Low Low Respose Tme Custom producto wth raw materal at supplers H 3

4 Servce ad Number of Facltes Where vetory eeds to be for a oe week order respose tme - typcal results --> 1 12 Respose Tme Number of Facltes 2007 Pearso Educato Where vetory eeds to be for a 5 day order respose tme - typcal results --> 2 s Where vetory eeds to be for a 3 day order respose tme - typcal results --> 5 s 2007 Pearso Educato 2007 Pearso Educato 4

5 Where vetory eeds to be for a ext day order respose tme - typcal results --> 13 s Where vetory eeds to be for a same day / ext day order respose tme - typcal results --> 26 s 2007 Pearso Educato 2007 Pearso Educato Costs ad Number of Facltes Cost Buldup as a Fucto of Facltes Total Costs Costs Ivetory Faclty costs Trasportato t of Operatos Cost Percet Servce Level Wth Promsed Tme Facltes Ivetory Trasportato Labor Number of facltes Number of Facltes 5

6 A Framework for Global Ste Locato Covetoal Network Compettve STRATEGY INTERNAL CONSTRAINTS Captal, growth strategy, exstg etwork PRODUCTION TECHNOLOGIES Cost, Scale/Scope mpact, support requred, flexblty COMPETITIVE ENVIRONMENT PRODUCTION METHODS Skll eeds, respose tme FACTOR COSTS Labor, materals, ste specfc PHASE I Supply Cha Strategy PHASE II Regoal Faclty Cofgurato PHASE III Desrable Stes PHASE IV Locato Choces GLOBAL COMPETITION TARIFFS AND TAX INCENTIVES REGIONAL DEMAND Sze, growth, homogeety, local specfcatos POLITICAL, EXCHANGE RATE AND DEMAND RISK AVAILABLE INFRASTRUCTURE LOGISTICS COSTS Trasport, vetory, coordato Vedor Vedor Vedor Materals Compoet Maufacturg Compoets Fal Assembly Plat Warehouse Fshed Goods Fshed Goods 22 Talored Network: Mult-Echelo Fshed Goods Network Local l Cross-Dock Regoal 1 Fshed Goods Local Cross-Dock Natoal 2 Fshed Goods Local Cross-Dock Regoal Fshed Goods Models for Locato Ad Capacty Goal: Maxmze the proft whle satsfyg customer eeds. Tme Horzo: Log: decde o locatos ad capacty. Short: Assg demad to avalable facltes ad detfy trasportato laes. Models: Gravty models Network optmzato models. 3 6

7 Models for Locato Ad Capacty Gravty Methods for Locato 24 Ifo eeds: Locato of supply sources ad markets Locato of potetal faclty stes Demad forecast by market Faclty, labor, ad materal costs by ste Trasportato costs betwee each par of stes Ivetory costs by ste ad as a fucto of quatty Sale prce of product dfferet regos Taxes ad tarffs Desred respose tme ad other servce factors 25 To Mle-Ceter Soluto x,y: Warehouse Coordates x, y : Coordates of delvery locato d : Dstace to delvery locato F : Shppg cost per mle D : Aual demad M d D F 2 2 d ( x x) ( y y) k Dx F 1 x d k F D 1 d k D y F 1 y d k F D 1 d Network Optmzato Models Demad Allocato Model 26 Allocatg demad to producto facltes Locatg facltes ad allocatg capacty Key Costs: Fxed faclty cost Trasportato cost Producto cost Ivetory cost Coordato cost Whch plats to establsh? How to cofgure the etwork? 27 Whch market s served by whch plat? Whch h supply sources are used by a plat? x = Quatty shpped from plat ste to customer j M s. t. x 1 m x j1 x m c x 1 j1 0 D K, j 1,..., m, 1,..., j 7

8 Plat Locato wth Multple Sourcg Summary of Learg Objectves 28 y = 1 f plat s located at ste, 0 otherwse x = Quatty shpped from plat ste to customer j f : aual fxed cost M s. t. x 1 j1 f 1 x y D K {0,1} y j m c x 1 j1, j 1,..., m y, 1,..., 29 What s the role of etwork desg decsos the supply cha? What are the factors fluecg supply cha etwork desg decsos? Descrbe a strategc framework for faclty locato. How are the followg optmzato methods used for faclty locato ad capacty allocato decsos? Gravty methods for locato Network optmzato models Homework 1 30 Exercses: Chapter 5 8