Logistics

7.

Logistics Network Design

7.1.

Principles of Network Design

7.1.1.

Total Cost Concept

7.1.1.1.

Cost Components

7.1.1.1.1.

Transportation Costs

7.1.1.1.2.

Warehousing Costs

7.1.1.1.3.

Inventory Costs

7.1.1.1.4.

7.1.1.2.

Trade-off Analysis

7.1.1.2.1.

Cost-Service Balance

7.1.1.2.2.

Optimization Techniques

7.1.1.2.3.

Sensitivity Analysis

7.1.1.2.4.

Scenario Planning

7.1.2.

Service Level Requirements

7.1.2.1.

Customer Service Metrics

7.1.2.1.1.

Delivery Performance

7.1.2.1.2.

7.1.2.1.3.

7.1.2.1.4.

7.1.2.2.

7.1.2.2.1.

Order Cycle Time

7.1.2.2.2.

Lead Time Management

7.1.2.2.3.

Emergency Response

7.1.2.2.4.

Service Windows

7.1.3.

Risk and Resiliency

7.1.3.1.

Risk Identification

7.1.3.1.1.

Supply Disruptions

7.1.3.1.2.

Demand Variability

7.1.3.1.3.

Natural Disasters

7.1.3.1.4.

Economic Factors

7.1.3.2.

Network Flexibility

7.1.3.2.1.

Capacity Scalability

7.1.3.2.2.

Route Alternatives

7.1.3.2.3.

Supplier Diversification

7.1.3.2.4.

Contingency Planning

7.2.

Facility Location Analysis

7.2.1.

Factors Influencing Location Decisions

7.2.1.1.

Market Proximity

7.2.1.1.1.

Customer Distance

7.2.1.1.2.

7.2.1.1.3.

Demand Patterns

7.2.1.1.4.

Competitive Presence

7.2.1.2.

Labor Availability

7.2.1.2.1.

Workforce Skills

7.2.1.2.2.

7.2.1.2.3.

Unemployment Rates

7.2.1.2.4.

Training Programs

7.2.1.3.

7.2.1.3.1.

Transportation Access

7.2.1.3.2.

Utilities Availability

7.2.1.3.3.

Communication Systems

7.2.1.3.4.

Support Services

7.2.1.4.

Regulatory Environment

7.2.1.4.1.

Zoning Regulations

7.2.1.4.2.

7.2.1.4.3.

Environmental Requirements

7.2.1.4.4.

Business Climate

7.2.2.

Center-of-Gravity Method

7.2.2.1.

Calculation Steps

7.2.2.1.1.

Data Collection

7.2.2.1.2.

Weight Assignment

7.2.2.1.3.

Coordinate Calculation

7.2.2.1.4.

Location Determination

7.2.2.2.

Application Scenarios

7.2.2.2.1.

Single Facility Location

7.2.2.2.2.

Multiple Facility Networks

7.2.2.2.3.

Demand Weighting

7.2.2.2.4.

Cost Considerations

7.2.3.

7.2.3.1.

Grid Analysis Process

7.2.3.1.1.

Grid Construction

7.2.3.1.2.

Cost Calculation

7.2.3.1.3.

Optimization Search

7.2.3.1.4.

Solution Evaluation

7.2.3.2.

7.2.3.2.1.

Simplifying Assumptions

7.2.3.2.2.

Data Requirements

7.2.3.2.3.

Computational Complexity

7.2.3.2.4.

Real-world Constraints

7.3.

Network Modeling and Optimization

7.3.1.

Simulation Models

7.3.1.1.

Scenario Analysis

7.3.1.1.1.

What-if Analysis

7.3.1.1.2.

Alternative Strategies

7.3.1.1.3.

Risk Assessment

7.3.1.1.4.

Performance Comparison

7.3.1.2.

Sensitivity Testing

7.3.1.2.1.

Parameter Variation

7.3.1.2.2.

Robustness Analysis

7.3.1.2.3.

Critical Factors

7.3.1.2.4.

Uncertainty Analysis

7.3.2.

Heuristic Models

7.3.2.1.

Rule-Based Approaches

7.3.2.1.1.

7.3.2.1.2.

Expert Knowledge

7.3.2.1.3.

Practical Guidelines

7.3.2.1.4.

Implementation Ease

7.3.2.2.

Application Examples

7.3.2.2.1.

Location Selection

7.3.2.2.2.

7.3.2.2.3.

Inventory Allocation

7.3.2.2.4.

Capacity Planning

7.3.3.

Optimization Algorithms

7.3.3.1.

Linear Programming

7.3.3.1.1.

Problem Formulation

7.3.3.1.2.

Constraint Definition

7.3.3.1.3.

Objective Function

7.3.3.1.4.

Solution Methods

7.3.3.2.

Mixed-Integer Programming

7.3.3.2.1.

Integer Variables

7.3.3.2.2.

Binary Decisions

7.3.3.2.3.

Complex Constraints

7.3.3.2.4.

Solution Techniques

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