Research On The Distribution Logistics Network Nodes Layout Of Iron And Steel Enterprise

ABSTRACT:The steel industry has been in a state of high-cost and low-margin business, while distribution logistics chains of iron and steel enterprises are generally short. The development of distribution logistics can change steel distribution logistics from a cost center to profit center by reducing costs and expanding the value-added services of iron and steel enterprises. The current research on the steel logistics mainly concentrates in the procurement and production processes, and the research on distribution logistics is little. Therefore, this paper has important theoretical and practical significance to the distribution logistics network nodes layout of iron and steel enterprise.Firstly, the paper analyzes the characteristics and current situation of distribution logistics of the iron and steel enterprises in China. It points out that building distribution logistics network is the inevitable trend to the development of the iron and steel enterprise, which will help customers to enjoy a more favorable price and better service, save the social logistics cost of the steel industry, and stabilize the steel market.Secondly, the paper studies the network node layout theory which is core issue of network, and analyzes the level of nodes, the type of nodes, the construction methods, the principles of node layout. Then a method is presented to determine the number and location of regional logistics center, which is the combination of urban strength and the optimal cost and efficiency.Thirdly, the paper builds the evaluation index system and the optimal network cost model, which contains transportation costs and operating costs. By using principal component analysis and genetic algorithm, a decision of regional logistics center location can be obtained.Finally, taking Hebei Iron and Steel Group as an example, the paper proposes the program of the distribution network nodes layout of the group. By comparatively analysis of profit ability before and after the network construction, the paper shows a high-profit prospect by building its own distribution logistics network.