| Issue |
MATEC Web Conf.
Volume 248, 2018
4th Engineering Science and Technology International Conference (ESTIC 2018)
|
|
|---|---|---|
| Article Number | 03014 | |
| Number of page(s) | 5 | |
| Section | Industrial Engineering | |
| DOI | https://doi.org/10.1051/matecconf/201824803014 | |
| Published online | 10 December 2018 | |
Product Distribution Optimization in Food SMEs with Integer Linear Programming
Industrial Engineering Department, Universitas Indonesia
* Corresponding author: mdachyar@yahoo.com
Efficient product distribution is a key driver of the overall profitability of a company. The high cost of product distribution in food SMEs is caused by the absence of a proper distribution cost calculation to obtain optimal distribution decisions. This research aims to provide SMEs with a product distribution model with the lowest cost. A Heterogenous Fleet Vehicle Routing Problem (HVRP) for SMEs product distribution is modeled in the form of Integer Linear Programming and solved using branch-and-bound algorithm to obtain an optimal route and vehicle assignment with the lowest cost. The result of this research is a model that can be used by SMEs to make daily product distribution decision.
© The Authors, published by EDP Sciences, 2018
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