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Discrete-Event Simulation as Decision Support for AS/RS Performance in an Inbound Material Flow: A Case Study at Company X

Adgi, Zahra LU and Samuelsson, Axel (2026) MTTM03 20261
Packaging Logistics
Production Management
Engineering Logistics
Abstract
This thesis investigates how discrete-event simulation (DES) can serve as decision support for evaluating the performance of an Automated Storage and Retrieval System (AS/RS) within the inbound material flow at Company X. The AS/RS, referred to as the Highbay, has been identified as the primary bottleneck of the inbound material flow at the factory. Its performance is therefore a major concern, particularly with respect to current lead times and a projected increase in production demand by 2032.
A simulation model of the inbound material flow was developed in inFACTS Studios and used to evaluate four scenarios. The scenarios combined two demand levels (current and projected) with two crane speed settings (current and increased by 100%).... (More)
This thesis investigates how discrete-event simulation (DES) can serve as decision support for evaluating the performance of an Automated Storage and Retrieval System (AS/RS) within the inbound material flow at Company X. The AS/RS, referred to as the Highbay, has been identified as the primary bottleneck of the inbound material flow at the factory. Its performance is therefore a major concern, particularly with respect to current lead times and a projected increase in production demand by 2032.
A simulation model of the inbound material flow was developed in inFACTS Studios and used to evaluate four scenarios. The scenarios combined two demand levels (current and projected) with two crane speed settings (current and increased by 100%). Three performance measures were analyzed: throughput of the Highbay, lead time for requested pallets and utilization rates of the two cranes.
The results indicate that the current system is unable to accommodate the projected increase in demand, leading to a growing pallet backlog, prolonged saturation of the two cranes, and an almost twofold increase in the average lead time, from 112 to 215 minutes. Increasing the speed of the cranes by 100% has a substantial positive effect under both current and future demand conditions, reducing the lead time to 40 minutes under current demand and 56 minutes under future demand, while lowering the crane utilization to approximately 45%. The faster cranes enable greater responsiveness and provide sufficient capacity to handle the projected demand growth.
The study demonstrates that discrete-event simulation is a valuable decision-support tool for evaluating both the capacity of an existing AS/RS and the impact of future operational changes. The findings provide Company X with quantitative evidence to support future decisions related to the inbound material flow. The results should, however, be interpreted with the software-related limitations described in the thesis. (Less)
Popular Abstract
Modern factories rely on a steady flow of materials to keep production running smoothly. At the studied factory, thousands of pallets containing parts and components pass through an automated warehouse known as the Highbay before reaching production. While the system has supported operations for many years, increasing production volumes have raised concerns about whether it can handle future demand without causing delays.
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author
Adgi, Zahra LU and Samuelsson, Axel
supervisor
organization
course
MTTM03 20261
year
type
H2 - Master's Degree (Two Years)
subject
keywords
discrete-event simulation, automated storage and retrieval systems, decision support, scenario analysis, performance evaluation
language
English
id
9235185
date added to LUP
2026-06-25 14:34:56
date last changed
2026-06-25 14:34:56
@misc{9235185,
  abstract     = {{This thesis investigates how discrete-event simulation (DES) can serve as decision support for evaluating the performance of an Automated Storage and Retrieval System (AS/RS) within the inbound material flow at Company X. The AS/RS, referred to as the Highbay, has been identified as the primary bottleneck of the inbound material flow at the factory. Its performance is therefore a major concern, particularly with respect to current lead times and a projected increase in production demand by 2032.
A simulation model of the inbound material flow was developed in inFACTS Studios and used to evaluate four scenarios. The scenarios combined two demand levels (current and projected) with two crane speed settings (current and increased by 100%). Three performance measures were analyzed: throughput of the Highbay, lead time for requested pallets and utilization rates of the two cranes. 
The results indicate that the current system is unable to accommodate the projected increase in demand, leading to a growing pallet backlog, prolonged saturation of the two cranes, and an almost twofold increase in the average lead time, from 112 to 215 minutes. Increasing the speed of the cranes by 100% has a substantial positive effect under both current and future demand conditions, reducing the lead time to 40 minutes under current demand and 56 minutes under future demand, while lowering the crane utilization to approximately 45%. The faster cranes enable greater responsiveness and provide sufficient capacity to handle the projected demand growth.
The study demonstrates that discrete-event simulation is a valuable decision-support tool for evaluating both the capacity of an existing AS/RS and the impact of future operational changes. The findings provide Company X with quantitative evidence to support future decisions related to the inbound material flow. The results should, however, be interpreted with the software-related limitations described in the thesis.}},
  author       = {{Adgi, Zahra and Samuelsson, Axel}},
  language     = {{eng}},
  note         = {{Student Paper}},
  title        = {{Discrete-Event Simulation as Decision Support for AS/RS Performance in an Inbound Material Flow: A Case Study at Company X}},
  year         = {{2026}},
}