Order fulfillment at low cost is a critical task of any company. Order fulfillment is achieved through order creation, inventory availability, org selection, pick & pack, carrier tender, and finally carrier pick-up and delivery. This sequence of events requires distribution centers of adequate capacity and capability. To achieve competitive cost, the placement of each distribution center is a critical decision. If the distribution center is placed in the wrong location, shipping costs will be higher than they need to be, placing the company at a disadvantage. The data needed to make a decision for a new location includes order destination, order size, shipping costs, as well as the location of any existing distribution centers. Vetsource, a veterinary service company, is evaluating the decision for a new distribution center. This investment is critical to the future success of the company. The objective of this paper is to create a model which will help determine the lowest shipping costs of this Distribution Center.
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Lorenzo, Erick; Gifford, Geoff; Ton, Hai; Dolgos, Luciane; and Singh, Navdeep, "Optimization Modeling for Best Location for New Plant" (2021). Engineering and Technology Management Student Projects. 2314.
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