Study On Distribution Center Location Of Enterprise Logistics Considering Customer Satisfaction And Environment Cost

With the rapid development of China’s logistics industry and it’s increasingly fierce competition, the planning and design of logistics distribution network, which as the core link of supply chain management, is playing an important role in the enterprise’s supply chain operation. For manufacturing enterprises, the immediate intention of planning and design of logistics distribution network is to improve logistics service and to satisfy the customers better, thus can make company get higher market share and higher profits. Establishing distribution centers could cost much, but the reason why enterprise decides to spend much to build DC to meet the customer’s demands lies on that customer satisfaction can bring value and profits. Customer satisfaction value is a kind of potential value to the enterprise, while the profit through product sales is a kind of realistic value. Therefore how to plan the logistics distribution network to make the maximum potential value for the enterprise’s sustainable development still worth deeper studying in logistics.At the same time, sustainable development as a basic national policy of our country, emphasizes circulatory economy idea. The development of green logistics and promotion of energy conservation and emission reduction in logistics industry would have positive impact on sustainable development. As a consequence, it is also meaningful to bring environmental factor into distribution network programming.This paper aims at the research in the problem of distribution network planning to gear up the sustainable development of the enterprise. Considering customer satisfaction value as a potential profit which can be the impetus of long-term development of enterprises, as well as environmental penalty cost, this paper focuses on the distribution center location planning. The research content includes:Firstly, on the premise of a large number of relevant literature review, this paper stated the concept of customer satisfaction value and analyze its necessity to distribution network. Based on the study of factors which can affect the customer satisfaction value, a new model is created.Secondly, this paper stated the necessity of environmental factor to distribution network planning and analyze the environmental problems in distribution network. On the basis of environmental equivalent cost theory, this paper studies the factors which can affect the environmental cost in distribution network system and build a model.Thirdly, this paper established a multi-objective location model of enterprise logistics distribution center considering multi-objectives, including how to maximize the customer satisfaction value and minimum environmental penalty cost and other logistics cost. The model is aimed to illustrate customer satisfaction value is essential to the sustainable development of enterprises.Finally, the paper designed a DC location network for enterprise C, using LINGO11.0 software to program, thus verifying the feasibility and effectiveness of the model.