Ordered Picking-up Cargo Service Which Based On The MILK-RUN Model

The volume of business of Sinotrans Shenzhen Logistics Co. Ltd is gettingincreasing as the recovery of global economy. Every batch of cargo is low in quantity,however, gets into or out the warehouse with high frequency. The average amount ofcargo-trucks which get into and out the warehouse is about1,000, and the averagevolume of each cargo batch is about5CBM. The traffic and the service of thewarehouse are under a series pressure because of the high frequency which is made bya large number of cargo-senders, and also, this high frequency brings a low efficiencyin cargo loading-and-unloading service, increasing complaints from customers.Sinotrans Shenzhen Log Co. Ltd keeps searching a scheme to resolve the aboveproblem all through. The company brings in many methods such as AppointmentManagement System, Warehouse Gate Management System, etc. However, suchmethods can only dredge or relieve the cargo-flow pressure after its formation;therefore they cannot eliminate the source of the problem.This thesis will introduce MILK-RUN model, as so called “the model ofPicking-up cargo circulation” after a deep research of the above contradictions. It willput forward the scheme of Ordered Picking-up Cargo Service which points at the realsituation of the company. The scheme is transformed into the classic model of VRPand TSP. At this basis, it will divide the cargos into groups every day using SweepAlgorithm, deploy trucks to connect cargos, and then optimize the traffic route withthe Nearest Insertion Method. At last it will get a scheme of Picking-up Cargo Servicewhich is relatively optimal. It will also put forward the SWOT analysis about thescheme on the base of the real environment of the company.