dc.description.abstract | This thesis is a case study based on Lion Brewery
Ceylon PLC, Biyagama, which is a famous beer company
and the market leader in Sri Lank. Company outbound
logistics has been considered in this research and it is
mainly focuses on distribution and redistribution process
in Colombo region. A Centralized distribution strategy has
been applied for the region under three ways in order to find
an optimal location of new facility through determining a
route plan with cost optimized truck allocation system.
Current trucks have been allocated to new roots and the
purpose is to find a cost optimized distribution system.
To find an optimal location, Gravity model has been used
and Hamiltonian cycle was used to find an optimal path
between sub clusters. Lingo software has been used to
solve Hamiltonian cycle problem and linear programming
model solved using MS excel solver. According to
the unit cost, linear programming model result has
been manually adjusted. Central warehouse capacity
plan, cost comparison of existing model and proposed
model including milk run and the labour cost has been
embedded to this research. Finally, author has compared
total cost of centralized distribution and decentralized
distribution while proving a huge cost benefits/savings
(21.8% savings) than decentralized distribution. | en_US |