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Warehouse Location For High Frequency Jit Delivery

Proceedings - Annual Meeting of the Decision Sciences Institute, Vol: 3, Page: 1426-1428
1996
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Conference Paper Description

This paper presents an analysis of the effect of high frequency delivery requirement of JIT manufacturing on warehouse locations in a two-level distribution system consisting of a single plant, one or more warehouses, and a number of customer hubs. A nonlinear location-allocation type mixed-integer programming model is developed to determine if and when such relocations are necessary. The model introduces a bivariate delivery cost function which is continuous in distance but discontinuous in delivery quantities. Use of this function permits the choice of a distance metric appropriate for each transport mode. Several examples are solved by using LINGO, and observations are made on the generality of solutions.

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