Costs of inbound logistics – Towards a decision support model for production system design

Research output: Chapter in Book/Report/Conference proceedingPaper in conference proceeding

Abstract

Global competition forces companies to constantly increase the efficiency in their production systems. One important factor affecting the production performance is the inbound materials handling system. When designing or relocating a manufacturing system, the cost of the material handling system is one of many things to take into consideration. In connection with on-going research a comprehensive decision support for production location, both work procedures and model and tools for strategic and economic analyses are developed. A case study was conducted, at a supplier to the heavy vehicle industry, in order to develop cost models for inbound logistics. The results were two cost models of different accuracy giving the cost per part, where the comprehensive model is taking the process and equipment into consideration. In addition, the study also revealed the proportion between inbound logistics costs and assembly costs at the company studied. The result in this article is part of the development of making models for calculating the total production part cost.

Details

Authors
Organisations
Research areas and keywords

Subject classification (UKÄ) – MANDATORY

  • Materials Engineering

Keywords

  • INBOUND LOGISTICS COSTS, LOGISTIC ACTIVITIES, MATERIAL HANDLING, PRODUCTION SYSTEM DESIGN, PRODUCTION DECISION SUPPORT, RELOCATION DECISION, LOCATION DECISION
Original languageEnglish
Title of host publicationAdvances in Sustainable and Competitive Manufacturing Systems.
EditorsAmérico Azevedo
PublisherSpringer
Pages1049-1061
Number of pages8
Publication statusPublished - 2013
Publication categoryResearch
Peer-reviewedYes
EventFlexible Automation and Intelligent Manufacturing, FAIM2013 - Porto, Portugal
Duration: 2013 Jun 26 → …

Conference

ConferenceFlexible Automation and Intelligent Manufacturing, FAIM2013
CountryPortugal
CityPorto
Period2013/06/26 → …