Cost models of inbound logistics activities: supporting production system design
Windmark, Christina LU
and Andersson, Carin
LU
(2015)
In International Journal of Supply Chain and Operations Resilience
1(2).
p.181-200
- Abstract
- To make good corporate strategy decisions, it is important to have
reliable data. When making relocation decisions, it is important to know not
only the manufacturing cost but also the production cost, cost model including
the cost drivers of the whole production system. This paper presents two cost
models of inbound logistics, one to estimate the costs in a current production
system in detail and one for rougher estimation of the costs in a new system.
The models were developed and tested at two suppliers to the heavy vehicle
industry. The models are limited to storage and handling of pallets or different
kinds of containers, giving the cost per part by use of a... (More) - To make good corporate strategy decisions, it is important to have
reliable data. When making relocation decisions, it is important to know not
only the manufacturing cost but also the production cost, cost model including
the cost drivers of the whole production system. This paper presents two cost
models of inbound logistics, one to estimate the costs in a current production
system in detail and one for rougher estimation of the costs in a new system.
The models were developed and tested at two suppliers to the heavy vehicle
industry. The models are limited to storage and handling of pallets or different
kinds of containers, giving the cost per part by use of a pallet equivalent, a
newly developed cost allocation parameter. The results indicate that the share
of inbound logistics costs is 11–21% of the manufacturing cost plus the cost of
internal material handling, indicating that it is an important cost factor. (Less)
Please use this url to cite or link to this publication:
https://lup.lub.lu.se/record/4533508
- author
- Windmark, Christina
LU
and Andersson, Carin
LU
- organization
- publishing date
- 2015
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- relocation decision, material handling, logistic activities, inbound logistics costs, production decision support, production system design, location decision.
- in
- International Journal of Supply Chain and Operations Resilience
- volume
- 1
- issue
- 2
- pages
- 19 pages
- publisher
- Interscience Communications Ltd
- ISSN
- 2052-8698
- DOI
- 10.1504/IJSCOR.2015.069927
- language
- English
- LU publication?
- yes
- id
- adeeee4d-82dc-40d3-b8d7-e30c36166f55 (old id 4533508)
- date added to LUP
- 2016-04-01 13:28:56
- date last changed
- 2020-07-02 15:34:08
@article{adeeee4d-82dc-40d3-b8d7-e30c36166f55,
abstract = {{To make good corporate strategy decisions, it is important to have<br/><br>
reliable data. When making relocation decisions, it is important to know not<br/><br>
only the manufacturing cost but also the production cost, cost model including<br/><br>
the cost drivers of the whole production system. This paper presents two cost<br/><br>
models of inbound logistics, one to estimate the costs in a current production<br/><br>
system in detail and one for rougher estimation of the costs in a new system.<br/><br>
The models were developed and tested at two suppliers to the heavy vehicle<br/><br>
industry. The models are limited to storage and handling of pallets or different<br/><br>
kinds of containers, giving the cost per part by use of a pallet equivalent, a<br/><br>
newly developed cost allocation parameter. The results indicate that the share<br/><br>
of inbound logistics costs is 11–21% of the manufacturing cost plus the cost of<br/><br>
internal material handling, indicating that it is an important cost factor.}},
author = {{Windmark, Christina and Andersson, Carin}},
issn = {{2052-8698}},
keywords = {{relocation decision; material handling; logistic activities; inbound logistics costs; production decision support; production system design; location decision.}},
language = {{eng}},
number = {{2}},
pages = {{181--200}},
publisher = {{Interscience Communications Ltd}},
series = {{International Journal of Supply Chain and Operations Resilience}},
title = {{Cost models of inbound logistics activities: supporting production system design}},
url = {{http://dx.doi.org/10.1504/IJSCOR.2015.069927}},
doi = {{10.1504/IJSCOR.2015.069927}},
volume = {{1}},
year = {{2015}},
}