We plan our partners’ logistical operations with the help of a simulation soft ware.

How does the simulation software assist us?

So far, when planning logistical operations logistical service providers would typically turn to static planning methodologies, or estimates calculated based on experience. These methods work well for the purpose of giving a close enough estimate for the  mechanical and human resources necessary for warehouse operations, but they are not sufficient when comparing technological, project management and scheduling options.
The main task of logistical operations is to continuously increase efficiency. Without simulation we had to revert back to constant experimentation and measuring, where we would install the seemingly best possibility after having tried and tested multiple options directly on the system. The question, naturally, was always how sure we could be that the chosen methodology was really the best and most efficient one?  
When designing a new warehouse, decisions must often be made between various technological and organizational alternatives, the forecasted operational costs of which – with the help of traditional static methodologies - can only be a close estimate, so the decision will never be a completely firm one. These decisions determine the performance and cost effectiveness of warehousing operations for a long period of time.

By using the simulation software we are able to experience each planned alternative through modeling reality. We are able to make solid, firm decisions in questions such as the storage and moving technologies applied, the positioning of each individual operation, the number of shifts, the timely scheduling of tasks and the discovery of synergies.

What’s in it for our prospective partners?

When designing new logistical solutions we can simulate – with the help of this software – the operations of the future warehouse. As a result of an optimizing process, in the constructed warehouse model we determine the optimum amount of resources regarding machinery as well as human resources, along with creating such a shift plan that allows for the timely execution of projects.  The model can take various storage and moving technologies into consideration, all possible project management strategies (e.g. One-step, two-step, commissioning etc.) and the number of shifts necessary. Due to this we can guarantee our partners the lowest possible level of logistical expenses. The result of the simulation project is greatly influenced by how exact the input data is that we receive for planning.  With realistic stock and volume data we can ensure, that the operation can be launched with the forecasted amount of resources, at the cost level expected.   

Experiences so far

During the development of our latest infrastructure we used the simulation software. Existing operations were being moved into the new building, so the necessary volume and stock data was available for the simulation model, which allowed for setting up an adequately exact simulation model problem free. We tested various options for storage technology and the use of different tools for moving goods according to different timetables. The number of combinations is so high, that the ideal solution can only be detected with the help of a special algorithm. Our software uses a genetic algorithm to select the most realistic – and as the test runs continue increasingly more and more optimal – solution. The simulation results underlined such decisions as which stack system to use, what kind of equipment to acquire for moving goods and how many, the number of work stations needed in the warehouse office, the size of the social rooms etc.

If you would like to receive more information regarding this service please don’t hesitate to contact our colleague:
Zalán Kanczler – Project Manager
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