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IMPLEMENTING OPTIMIZATION MODEL SUPPORTED STRATEGIC DECISIONS INTEGRATING MANUFACTURE AND DISTRIBUTION ON A CHEMICAL COMPANY

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JANUARY-DECEMBER 2015   -  Volume: 3 -  Pages: [10 p.]

DOI:

https://doi.org/10.6036/MN7591

Authors:

JOSE LUIS MARTINEZ FLORES - OSCAR IVAN CARREON MARTINEZ - DIANA SANCHEZ PARTIDA

Disciplines:

  • Organization and management of enterprises (LOGISTICA )

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Key words:
cadena de suministro, optimización, modelos matemáticos, utilidad bruta, red logística, supply chain, optimization, mathematical models, gross profit, logistics network.
Article type:
COLABORACION/COLLABORATION DAMR
Section:
RESEARCH ARTICLES

ABSTRACT:
As organizations grow, supply chain do also in complexity, which poses a major challenge that presents both opportunities for improvement that can turn into competitive advantages; therefore there is a need to make better decisions at a strategic level such as defining where produce materials and from where to distribute to clients, so that the benefits are maximized. This problem is known as analysing a logistics network.

In this paper a problem of this kind which seeks to improve the gross profit of a global chemical company in one of its divisions in Latin America is presented. To solve this issue first is developed an optimization model that integrates both manufacturing and distribution of materials. Then the model is implemented in a software optimization, which is fed by actual data of the company, in order to know which plants produce what products and how the Distribution Centers (DC) send these products to customers. The results show a great benefit in gross profit of the company.

Keywords: supply chain, optimization, mathematical models, gross profit, logistics network.

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