Logistics Optimization And Supply Chain Management

Logistics distribution of goods in South Sudan unlike any other East African member country has been facing numerous challenges such as poor road network,flooding,illegal road blocks and insecurity which have led to high cost of transportation.The companies have been spending millions of dollars in handling delivery of goods from warehouses to the distribution centers across the country.Customer's fraternity has been greatly affected by these constant scaling transportation costs.In most cases,the said costs are shifted to customers who severely end up paying the entire transportation cost thus lowered the customer's demand for goods.Mitchell Cotts Freight Ltd is an outstanding operator in this business line in South Sudan.This thesis presents a study on the Mitchell Cotts Freight Ltd.In order to improve its logistic business by using optimization strategy.A trip to the company was made for the business survey and data collection.According to the company's configuration of warehouses and distribution centers,an optimization model is developed by using linear programming Single Path Modal(SPM).Furthermore,the Excel Solver Add-ins is employed for the estimation of the performance of the optimal models of transportation cost,time cost and logistic cost with seasonal factors.The numerical results from optimization process show that the optimal model developed here can significantly reduce the cost of the company;also improve the understanding of the current efficiency of the logistics business of the company;and give a deep insight on the seasonal cost due to weather conditions in different months.Through optimization techniques,the logistics company's distribution network can be optimized to use the best routes with the least cost both in money and time.Therefore the method used in this thesis is very powerful,it works well and can significantly help the company to reduce the transportation cost.