Jurnal Ilmiah Teknik Industri
Vol. 21, No. 1, June 2022

Development of Two-Stage Transportation Problem Model with Fixed Cost for Opening the Distribution Centers

S. Santoso (Bachelor Program in Industrial Engineering, Universitas Kristen Maranatha)
Rainisa Maini Heryanto (Bachelor Program in Industrial Engineering, Universitas Kristen Maranatha)



Article Info

Publish Date
30 Jun 2022

Abstract

The Two-Stage Transportation Problem (TSTP) is a model of product transportation in the supply chain. The transportation starts from the factory to customers through a distribution center (DC), which considers the fixed cost of opening a DC, the transportation cost per unit from a certain factory to a certain DC, and the transportation cost per unit from a certain DC to certain customers. This study develops a model by allowing direct delivery from the factory to the customer. From the numerical example given, the proposed model that allows direct delivery from the factory to a customer could result in a total distribution cost that is minimized to the initial model. Both models were compared with calculation using Lingo 19.0. The model developed is expected to provide options and consideration for the management to determine the right distribution and logistics strategy for their products.

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Journal Info

Abbrev

jiti

Publisher

Subject

Industrial & Manufacturing Engineering

Description

Jurnal Ilmiah Teknik Industri is a scientific journal that aims to participate in developing the scientific field of Industrial Engineering, contains the results of research and theoretical study from lecturers, researchers and industry practitioners. Jurnal Ilmiah Teknik Industri is administered by ...