Integration of the Warehousing and Transportation Functions in the Supply Chain

This paper examines the total cost benefits that can be achieved by suppliers and warehouses through the increased global visibility provided by an integrated system. A discrete event simulation model of a multi-product supply chain was developed to examine the potential benefits to be gained from global inventory visibility and trailer yard dispatching and sequencing techniques. Experimental results demonstrate the potential for this integrated paradigm to improve customer service through improved efficiencies, reduced costs, and reduced lead-time variability.