Rantai Pasok Lanjut: Green Field Analysis

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Rantai Pasok

Lanjut
Green Field
Analysis

Adji Candra Kurniawan


Learning Objectives
1. Develop the analytical and management skills to use the center-of-
gravity method and simulation to select the optimal locations for your
company’s facilities
2. Develop the technical skills you need to use anyLogistix to create
two-stage supply chain models, perform experiments and measure
performance
3. Understand the major trade-offs in facility location planning that
affect the number of sites, lead time and demand uncertainty
4. Understand the areas of simulation and optimization
Theoretical background
• The objective of the green field analysis (GFA) is to determine the
best location for our distribution center. We want to find the location
that allows us to fulfill our customer demands at the lowest total
transportation cost.
• GFA, also known as center-of-gravity analysis, is a common method
for determining optimal locations for new facilities (Ivanov et al.
2017). The issues we need to consider during a green field analysis
are our customers’ locations, the distances from our warehouse(s) to
our customers, and our customers’ demands for our products.
• The GFA is used to find the optimal location within a network to setup
a new production facility or warehouse, while a “brown” field
analysis, utilizing the same technique, can be used to adjust existing
networks (Ivanov et al. 2017, p. 235).
• Identifying the optimal location for a production or warehousing
facility is determined by finding the point at which:
• the sum of the distances from all suppliers to the factory (demand
point)
• weighted by the volume of product flow between each supplier and
the potential factory, is minimal.
• Likewise, to determine the optimal location for a warehouse, the
distances from the customers to the warehouse, weighted by their
respective demands, are calculated.
• To conduct the GFA, a high level of abstraction with a minimum
number of details is used. Existing data, such as customer locations,
demand per customer, the number and location of DCs, and/or
service distances, are used as inputs to the analysis.
• Program parameters for the GFA include how many possible results
the program should calculate and whether the program should use
real roads.
• The output of the analysis is an approximate, optimal location for a
production or warehousing facility (Ivanov 2017). This optimal point is
called the “center or gravity” (Ivanov et al. 2017). As explained, these
so called “Gravity models” determine the location at which the cost of
all in- and outbound transportation is minimized (Chopra and Meindl,
2016).

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