This study analyzes and designs a logistics network for the distribution of four brands of passenger cars in the Great Lakes region. The study... Show moreThis study analyzes and designs a logistics network for the distribution of four brands of passenger cars in the Great Lakes region. The study evaluates four types of distribution scenarios. Alternative 1 analyzes direct shipment method with only truck transportation mode from one distribution center located in the Chicago city to the cities in the Great Lakes region. Second alternative analyzes direct distribution method using multimodal transportation modes (railway and truck) from one distribution center to the cities included in this project. Third alternative analyzes peddling distribution method with only truck transportation mode from one warehouse to the project cities and the fourth alternative analyzes car distribution using direct shipment method with only truck transportation mode from two warehouses, where the main warehouse is located in Chicago city and the second warehouse is located in Indianapolis city. The analyses are conducted in order to determine the most cost-effective scenario for passenger car distribution in the Great Lakes region. The results of the study show that the most cost-effective scenario for passenger car distribution in the Great Lakes region includes using direct shipment method with multimodal transportation mode having one warehouse. However, this scenario has many uncovered sections such as we assumed that the warehouse and all destinations are located near to the railway yard and we do not need to transport cars from warehouse to the railway yard or from railway yard to the dealer by car huller truck/trailer. But in most of the time a railway yard and distribution center or a car dealership is not located in the same place or close to each other which in reality could increase the total cost for the logistics network. The second optimal cost provides the Alternative 1, which uses direct shipment method with only truck transportation mode and having one warehouse. This scenario is more practical and possible to use in reality without having significant changes in the total cost. M.S. in Civil, Architectural and Environmental Engineering, December 2014 Show less
