Distribution Center capacity analysis in stochastic environment: An application of value stream analysis and Monte Carlo simulation

摘要

The main objective of this research is to develop a simulation based capacity analysis model. We applied value stream analysis and Monte Carlo simulation, in a stochastic Distribution Center (DC) operations environment, in order to analyze the capacity level and make informed staffing and operations decisions. A simulation model was developed to provide a baseline for management to understand workflow and DC available capacity. The results showed that the DC under study was capable of receiving and shipping 30% to 40% higher units per shift. In addition, the results showed that there was an imbalanced workflow caused by original flow design, and daily work scheduling and planning.