OPTIMIZING THE DISTRIBUTION CENTRE LOCATIONS FOR AGRICO FOOD COMPANY USING ANYLOGISTIX SIMULATION

Abstract

A supply chain is an integral part of any organization. Every company needs effective, robust, resilient supply chain processes to remain profitable and competitive. Resilience can be defined as the ability of a supply chain process to go back to its original functional state or improve to a better state after interruptions. On the other hand, robustness is the ability of a firm to sustain operations during periods of crisis (Miroudot, 2020). This Thesis evaluated the robustness and resilience of the supply chain in Agrico food company amid many challenges that disrupt supply chain processes. The study used a descriptive nature and a quantitative approach to analyze data and make conclusions and recommendations. The study used secondary data obtained from Agrico food company. Additionally, the study used AnyLogistix software to conduct several simulations and modeling to optimize supply chain operations. GFA analysis was done to establish the best scenario for adoption by Agrico Company. The nonlinear mathematical model was also used to locate a distribution center that serves many customers to minimize the distance between the distribution center and customers. From the analysis, scenario 1 was the best since it takes one day to deliver the products to the customers. On the other hand, scenarios 3 and 4 take more than a day to make deliveries.