Supply chain design considering economies of scale and transport frequencies

@article{Baumgartner2012SupplyCD,
  title={Supply chain design considering economies of scale and transport frequencies},
  author={Kerstin Baumgartner and Andr{\'e} Fuetterer and Ulrich Wilhelm Thonemann},
  journal={European Journal of Operational Research},
  year={2012},
  volume={218},
  pages={789-800}
}
In this paper we consider a 3-echelon, multi-product supply chain design model with economies of scale in transport and warehousing that explicitly takes transport frequencies into consideration. Our model simultaneously optimizes locations and sizes of tank farms, material flows, and transport frequencies within the network. We consider all relevant costs: product cost, transport cost, tank rental cost, tank throughput cost, and inventory cost. The problem is based on a real-life example from… CONTINUE READING

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