TITLE

A Periodic Inventory Routing Problem at a Supermarket Chain

AUTHOR(S)
Gaur, Vishal; Fisher, Marshall L.
PUB. DATE
November 2004
SOURCE
Operations Research;Nov/Dec2004, Vol. 52 Issue 6, p813
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
Albert Heijn, BV, a supermarket chain in the Netherlands, faces a vehicle routing and delivery scheduling problem once every three to six months. Given hourly demand forecasts for each store, travel times and distances, cost parameters, and various transportation constraints, the firm seeks to determine a weekly delivery schedule specifying the times when each store should be replenished from a central distribution center, and to determine the vehicle routes that service these requirements at minimum cost. We describe the development and implementation of a system to solve this problem at Albert Heijn. The system resulted in savings of 4% of distribution costs in its first year of implementation and is expected to yield 12%-20% savings as the firm expands its usage. It also has tactical and strategic advantages for the firm, such as in assessing the cost impact of various logistics and marketing decisions, in performance measurement, and in competing effectively through reduced lead time and increased frequency of replenishment.
ACCESSION #
15389956

 

Related Articles

  • Placement Service.  // Transportation Journal (American Society of Transportation & Log;Winter1961, Vol. 1 Issue 2, p47 

    The article presents information about placements in the field of distribution and industrial management, that is being provided by the American Society of Transportation & Loqistics Inc., so that its readers may know about their availability for positions in the field of transportation and to...

  • IT and the Total Logistics Concept. Sussams, John // Management Services;Sep92, Vol. 36 Issue 9, p18 

    In describing a logistic system the traditional approach is to think of a network in which raw materials from various sources are processed in one or more production units, the finished product then being distributed via national and/or regional distribution centres to customers, where the...

  • LONDON REGION. Peacock, Michael // Logistics & Transport Focus;Jun2006, Vol. 8 Issue 5, p73 

    The article presents information on the presentation entitled World Class supply-chain modelling in China, by Fraser Ironside, global business development director of Radical Limited. Ironside described the scale of the Chinese economy and geography. Logistics expenditure of China is currently...

  • Future uncertain? Smyrlis, Lou // Canadian Transportation & Logistics;Jun2006, Vol. 109 Issue 6, p24 

    The article reports on the forecasts made by Informetrica Research CEO Mike McCracken concerning the issues affecting Canada's transportation sector during the Chartered Institute of Logistics and Transport Outlook 2006 Conference, held in Ottawa, Canada. He foresees that the economy will...

  • Experience the Nebraska Advantage.  // World Trade;Sep2008, Vol. 21 Issue 9, p18 

    The article deals with business logistics features of Nebraska that makes it an ideal business location. The state's central location along key transportation routes provides businesses unmatched speed to all major markets regardless of direction. Goods shipped one day by truck reach 26% of the...

  • Nuggets of gold. Tirschwell, Peter M. // Journal of Commerce (1542-3867);6/7/2004, Vol. 5 Issue 23, p36 

    Discusses the availability of performance measurements or metrics for logistics technology companies. Difficulties experienced by logistics technology companies in capturing in a single database current information on the whereabouts and status of cargo and its documentation; Measurement of the...

  • New European Alliance.  // Logistics & Transport Focus;Jun2002, Vol. 4 Issue 5, p13 

    This article reports that six European logistics companies have joined forces to launch a new pan-European alliance which will provide customers with a single point of contact for a range of distribution and logistics services throughout Europe. The alliance is a cooperation between companies...

  • Slam-Door Trains.  // Logistics & Transport Focus;Sep99, Vol. 1 Issue 3, p10 

    The first quarter report for 1999 on the number of road goods vehicles travelling to mainland Europe from Great Britain, were the main focus of this article. The figures presented are a seasonally adjusted basis to help identify underlying trends, especially changes between successive quarters....

  • Industry's Road 'Trade Routes'.  // Logistics & Transport Focus;Oct2002, Vol. 4 Issue 8, p7 

    Reports that the Freight Transport Association has published its map of trade routes, with details of the investment priorities for the roads network in Great Britain, as of November 2001.

Share

Read the Article

Courtesy of THE LIBRARY OF VIRGINIA

Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics