Restructuring of Logistics Processes.

LM 07

Restructuring of Logistics Processes: Case Study of Cross-Docking Operations at Warehouse AZ1 of Grupo Luís Simões

Maria Silva Pereira

Department of Engineering and Management, Instituto Superior Técnico

Abstract  

Organizations involved in supply chain management face increasing pressures to reduce inventories and lead-times and to improve global efficiency. Cross-docking operations are being increasingly adopted as part of a strategy to concentrate inventories and to reduce the number of stock-keeping locations, a trend that requires flexible and well-coordinated flows of goods and information along the logistic chain. 

The present work is intended to improve the efficiency of processes associated with crossdocking operations in a logistics center of a major logistic operator in Portugal. And, for that end, a simulation model of the operations that take place at the facility was developed with the purpose of testing and evaluating alternatives in managing cross-docking operations. These include, dock-door assignment, truck scheduling and temporary storage space allocation. Results revealed that the best scenario consisted in the combination of a temporary storage policy which minimizes the distance travelled within the facility, an exclusive service mode with alternated doors for loading and unloading with a preferential dock door assignment policy and a first-come-first-served truck scheduling method.

Keywords:

Logistics, Cross-docking, Simulation model