Study on distribution centre’s location selection of internal supply chain for large group manufacturing companies

Lifei Yao, Ruimin Ma, Maozhu Jin, Peiyu Ren

COMPUTER MODELLING & NEW TECHNOLOGIES 2014 18(4) 184-190

Business School, Sichuan University, 610064, Chengdu, Sichuan, China

The purpose of this paper is to study what distribution centre’s location selection can bring to the internal supply main management for large group manufacturing companies. This paper chooses the analytic hierarchy process to select an optional location for internal distribution centre’, and evaluate it through the simulation method. Internal distribution centre construction can effectively shorten the delivery time, reduce the logistics intensity, and improve utilization rate of transport equipment. Therefore, the distribution centre’s location selection is necessary and reasonable. This paper simplified some information when running the simulation and it is not all the same as the actual situation. This paper provides a good internal supply main management method for large group manufacturing companies. This paper put forward the importance of internal supply chain for a large group manufacturing company and studied the internal distribution centre’s location selection.