Analysis of point-to-point food distribution system

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Reference no: EM132265631

Design and Analysis of Point-To-Point Food Distribution System

Canada has been promoting the expansion of local and organic farming and making local farming more profitable for the farmers and affordable for the consumers. Today, the significant part of the food cost is associated from distribution channels (transportation system and final sale points –grocery stores etc.) Farmers’ compensation is limited comparison to the final sale price of the food items. Your goal is to establish a supply chain network where farmers receive orders directly from customers. A logistics firms makes regular visits to farms, collect orders and distribute them to customers.

In order to tackle this problem:

Survey the local farmers in Quebec (visit the Atwater and Jean-Talon to understand where the local foods are originated.

Identify farming communities in Quebec (around Montreal)

Design (theoretical) an order system where customers can order food (vegetables, fruits and meet) directly to farms.

Farms prepare the orders and notify the logistics firm

Logistics Company makes the deliveries and payment is transferred to farm and logistic firm.

You goal is the build a supply chain network that all parties are benefited.

Farmers make more money

Logistics firm make profit

Customers receive both fresh and affordable products

You don’t need to use optimization tools.

Build several alternatives and compare the results suing simulation.

Objective

The ultimate objective of this project is to create a supply chain network using ARENA for the farming community in Montreal. Our goal is to make different models for the Atwater and Jean-Talon markets in order to eventually compare all the created alternatives. Ultimately, the model which will reduce transportation cost and increase total profit will be selected.

Coverage area

The area covered will be the areas in which the diverse farms supplying products to both Jean-Talon and Atwater markets. The area covered will be Quebec, since their products are both supplied from farms in Quebec, the coverage area will be narrowed down to the farming community in Quebec.

The coverage area will be narrowed down to the farming community in Quebec, since both Jean-Talon and Atwater markets get products from farms located in Quebec.

Methodology

How simulation will help

Simulation will help providing us an optimized model while designing a real-life farming system. Data such as, the different suppliers, the number of places supplied at, the number of employees working at given shifts, the number of shifts, the working schedule, the type of products, the number of products per batch, can help us create models on ARENA, the simulation system that will be used for this project. ARENA will allow us to compare the different farming models created while analyzing the data recorded and will provide us with the optimal alternative to our final system.

Reference no: EM132265631

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