Technology Of Transportation Optimization And Its Application In GL Company

Along with the economic globalization and hot competitions among companies, modernlogistics management became more and more important in helping companies to increasecore competitiveness. Transportation,as one of the key functions of logistics, is taking moreresponsibilities in improving operation efficiency of company. The paper analyst and createnew transportation management methods in GL company base on its research in GLtransportation optimization needs, increased transportation efficiency and reduced the wholesupply chain operation cost in GL, the method leads to a model in the industry.The paper, base on current technologies of transportation management and suppliersselection, combined with GL transportation management character (import materials aremainly from USA, single trade lane, ocean transportation was considered), use ABCAnalysis Method to classify import materials base on "price/weight" factor to fittransportation optimization needs, meanwhile, some impact parameter such as VendorCooperation, Sourcing Difficulty were considered to adjust the result of classification tomake it reflect real needs in GL. Then, use AHP(Analytic hierarchy process) to choosetransportation methods for ABC materials. Inventory cost was fully considered whenestablish AHP transportation matrix to ensure the optimization will reduce the whole supplychain cost. Afterwards, to ensure transportation optimization will be executed without fail, thepaper also use Entropy Weight Coefficient Method to choose transportation forwarders anduse its KPI metrics to manage forwardersFirstly, the paper presents background and significance of the research, introduce thepurpose, contents and achievements. Secondly, reviewed current research achievements ontransportation management and supplier selections, analysis transportation character of GL and bring research thoughts and technologies of the paper. Chapter three analyst needs andtargets of the transportation optimization in detail, research in both transportation methodsand transportation supplier selection. At the end, with the transportation optimizationapplication in GL company, its good effect can be approved.