Jirawan NiemsakulJirawan Niemsakul

Sripatum University Chonburi CampusSripatum University Chonburi Campus

Chonburi, Thailand, 20000Chonburi, Thailand, 20000

klinsi_07@hotmail.comklinsi_07@hotmail.com

Problems Analysis and Truck Allocation in Problems Analysis and Truck Allocation in Sugarcane Transportation to Sugar MillSugarcane Transportation to Sugar Mill

Case Study: Sugar Mills in the Eastern ThailandCase Study: Sugar Mills in the Eastern Thailand

INFORMS 2009: San Diego, USAOctober 13, 2009

ContentContent

Introduction

Description of problems

Transportation strategies

A mathematical model

A case study of a sugar mill

IntroductionIntroduction

Eastern Thailand produced sugarcane about 4,641,118.54

tons in 2007/08

The major income of Thailand is from agriculture

Thailand exported sugar more 1,000 millions dollars and produced sugarcane

67,197,817 tons

Raw material (cane)

Quota area

Owned by farmer

Transportation(Truck)

Queuing system

Inbounds logisticsInbounds logistics

Extended area

Owned by mill

Rented truck

FIFO

Locked queue

FIFO+Locked dump

(fresh cane)

FIFO+Locked dump (extended area)

Description of ProblemsDescription of Problems

Description of ProblemsDescription of Problems

1

2

3

Amount (Ton)

Time (Month) Dec. Jan. Feb. Mar. Apr. May

18,000

Mill Capacity

Supply over demand

Supply less than demand

Transportation strategies

Database management Transport center Planting Clustering Truck allocation Truck energy system Routing Technology

Mathematical Model

Decision Variables

Xijk = Sugarcane supply delivered by owned truck i of area j, period k

Ymjk = Sugarcane supply delivered by rental truck m of area j, period k

TXijk = Number of transportation times of owned truck i of area j, period k

TYmjk = Number of transportation times of rental truck i of area j, period k

Mathematical Model

Objective Function

Minimize total transportation cost

Fuel cost Driver cost Transport service cost Maintenance cost Losing cost

Mathematical Model

I

i

J

j

K

kijkijk XC

1 1 1

I

i

J

j

K

kijkij XD

1 1 1

M

m

J

j

K

kmjkmjkYW

1 1 1

I

i

J

j

K

kijkij XM

1 1 1

M

m

J

j

K

kmjkmjk

I

i

J

j

K

kijkijk YLRXLO

Fuel cost

Driver cost

Transport service cost

Maintenance cost

Losing cost

Mathematical Model

Constraints

Mill capacity Sugarcane supply Quota contract of truck The used priority weight of truck using Limited transportation times of truck per period Balancing between transportation times and sugarcane supply per period

A Case Study of Sugar Mill

Sugarcane truck allocation for 2 areas in 60 periods

(baht) Current System Proposed

Fuel cost 5,047,246 6,438,322

Driver cost 3,564,000 7,128,000

Transport service cost 2,904,000 1,770,000

Maintenance cost 6,334,416 6,334,416

Loosing cost 25,024,680 18,784,420

Total 42,874,342 40,455,160

Total transportation cost can be decreased 5.64%

A Case Study of Sugar Mill

Area Current System Proposed

Owned truck Rental truck Owned truck Rental truck

1 148 16 (all) 148 16 (some periods)

2 50 6 50 0

Number of trucks in queuing system can be decreased 2.73%