Success Story
Building Materials Industry
Simulation-based optimization of dispatch processes in a distribution center
MISSION
The distribution of cement bound construction material takes place mainly by trucks from the producer to construction sites or wholesalers. The challenge of a distribution center is to assign commissioning and dispatch tasks to operators while shipment hours are volatile due to uncertain arrival times of trucks. Our solution considers the commissioning and dispatch processes under consideration of constraints and the fluctuations of arrival times of trucks by stochastic simulation.
SOLUTION AND WORK PROCESS
To identify the best configuration of staff organisation and order fulfilment a simulation study has been done.
Data collection of historical orders and analysis of product mix and customer behaviour
Analysis of dispatch processes and evalution of stochastic behaviour of truck arrival times
Simulation modeling of the distribution center
What-if-scenarios with “As-Is” and “To-Be” configurations by changing the process and structural organisation
Assessment of scenarios and results of the real life transformation
RESULTS
The digital twin was the key factor to find a reliable solution by varying stochastic workloads and truck arrival times on one hand and alternative configurations by what-if-scenarios on the other hand. Finally, following results have been achieved:
Increase of productivity by inactivating one shift for realizing the same transport volume and the same amount of dispatch orders
Balancing the workload by pre-drawing orders to time slots where underutilization has been identified
Higher reactivity trough material management and synchronization concept to manage fluctuating arrival times of trucks
