Simulation and optimization model for a cross-docking distribution center: case study of a railway business
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Abstract
One of the various issues experienced in execution of manufacturing systems in supply chain management is the bottleneck. Bottlenecks frequently occur during operation of real systems. Railway businesses encounter the same issue. In this research, simulation models were developed to explore and eliminate bottlenecks to improve the internal production zone of a rail freight cross-docking center (RFCDC) distributing goods to customers. This research developed the proposed model using ARENA software and performance criteria. Assessment considered data about the output of finished goods, the work-in-process holding inventory, the maximum net profit, and the average total time required. The proposed model demonstrated the best results considering all criteria and compared them to a real operation system, revealing 28.2%, 99.7%, 41.4% and 99.5% improvement in finished goods capacity, work‑in‑progress, profit and total process time, respectively. The proposed model is recommended for implementation in the RFCDC of this case study as a decision tool for resource allocation and planning.
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References
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