My PhD Project: Efficient Design of Grocery Distribution Networks
Supermarket chains require a large number of different products which are produced by many different suppliers to sell in a large number of stores. Hence they use a very large distribution network to transport products from suppliers to stores. The aim of this project is to produce a model which designs an efficient distribution network. Intermediate facilities are used to improve the network by allowing products to be transported in the most efficient manner.
The aim of this PhD is to develop a model/method which will support the decision making with decisions corresponding to:
• Intermediate facilities: Which intermediate facilities should we use? We will need to decide whether to use intermediate facilities that already exist and/or build new ones. When building new ones we will need to consider the best location to build these facilities and which stores will be served by which intermediate facility.
• Routes: What routes through facilities should vehicles take?
• Flow through the network: What is the appropriate quantity of each product to transport between facilities.
The objective is to make the most cost-efficient network in terms of economic benefits and reduction in harmful emissions. Our plan is to use heuristic methods given the highly complicated nature of the optimisation problem.