Modeling a Conversion of Suppliers from Prepaid to Collect (P2C) System

1. Modeling a Conversion of Suppliers from Prepaid to Collect (P2C) System Project # UA10 – Sam’s Club Project Team Principal Investigator Dr. Sarah Root (PI) Co-Principal Investigator Dr. Russell Meller Graduate Assistant Prabuddha Lohani Project Motivation • Sam’s Club • A division of Wal-Mart Stores, Inc. serving as a membership only retail warehouse club • Nearly 600 locations in US • P2C Conversion • Identify opportunities to reduce costs by moving to collect terms • Quantitative tradeoff between different level of service and the cost is unknown Project Objectives • Develop a model to estimate baseline inbound transportation cost increases as a result of P2C conversion • Help in prioritizing the suppliers converting from prepaid to collect • Construct a model to estimate the effect of MABD on transportation cost • Validation of model, working toward a larger implementation Project Activities • Data Collection and Analysis • Formulation of Strategy • Mathematical Modeling of Operational Problems • Sensitivity Analysis • Documentation

2. Modeling a Coal Car Cooperative Transportation Network: Phase 2 Project # UA10-AECC Project Team Principal Investigator Sarah Root, Ph.D. Co-Principal Investigator Chase Rainwater, Ph.D. Graduate Assistant Hector Vergara Project Motivation • Arkansas Electric Cooperative Corporation (AECC) • 3 coal-fired power stations consume approx. 14.5M tons of low-sulfur Powder River Basin (PRB) coal per year • Coal transportation network • Unit trains shipped from PRB, WY • Transportation represents 2/3 of coal cost • Problems in current coal transportation network • Unit train lengths limited by capacity of eastern railroads and physical limitations at power plants • Operational disruptions reduce coal throughput Result from Phase 1 • CCC Decision Support Tool • Volume feasibility and cost feasibility • Different participants • Role of participants • Class I Railroad participation Project Objectives • Refine decision support tool to evaluate the potential cost savings of the CCC • Propose implementation plan for the installation of a CCC in stages • (e.g. initial installation and further expansions based on participants needs) • A tactical plan for the formation and scheduling of CCC trains to be shipped to participant plants Project Activities • Data collection and analysis • Simulation model of train flow and car build-up • Scenario construction • Statistical analysis of simulation results • Mathematical modeling of operational problems • Sensitivity analysis • Documentation Research Methodology Model of Coal Car Build-up • Simulation modeling • Primary performance measures • Coal inventory at CCC • Cycle time • Scenarios for evaluation • Class I Railroad participation • Coal volume • Related analyses • Implementation plan for CCC • Infrastructure and operational costs CCC Operation Modeling • Mathematical model(s) of CCC operations • Locomotive and car scheduling • Empty balancing • Sensitivity with respect to • Coal volume (i.e. formation of outgoing trains) • Resource capacity

3. A Decision Support System for Transportation Infrastructure and Supply Chain System Planning Project Number: OSU-OU-09-OTC DSS Overview Freight Movement Model Project Objectives • To design and develop a decision support system (DSS) that can facilitate transportation infrastructure and supply chain system planning decisions. • To extend the freight movement model (FMM) methodology to supply chain (SC) system planning problems pertaining to the logistical infrastructure. • To provide access to information and analysis capabilities related to freight movement to transportation and logistics professionals, educators and students. • Implements FMM modules using a combination of VB.NET, FICO™ Xpress Optimization Suite, and Microsoft Access. • Provides a rich interactive querying capability with freight flow analysis results displayed in a standard GIS format. • Queries developed using ArcGIS® Engine and VB.NET • Provides access to an approach that uses the results of the FMM model to support and enhance the solution to supply chain system planning problems pertaining to the logistical network. • Provides access to results of retro-analysis for disasters such as the Northridge earthquake (1994), I-40 bridge collapse (2002) and Hurricane Katrina ( 2004). • Includes a scenario-based decision analysis capability that uses a combination of interactive scenario definition and off-line execution of freight flow models. • Supports training and education of transportation and logistics professionals and classroom instruction through associated case studies. • Includes tutorial type material with easy navigation of lessons and on-line quizzes. • TISCSoft – A Web-based Decision Support System • Application • Bio-fuels Supply Chain Case Study • Case study for Abengoa Bio-energy Biomass of Kansas (ABBK), Hugoton, Kansas is under development. • The bio-refinery will impact socio-economic conditions and traffic patterns in Stevens county, KS and adjacent counties. • The DSS project will facilitate regional transportation network planning decisions to support the bio-fuel supply chain. • Software/Publications • Software • Freight Logistics Infrastructure Planning Software (FLIPS) based on the FMM project delivered to OTC in 2009. • TISCSoft, a web-based decision support system under development. • Publications and Presentations • Three journal submissions under review and two manuscripts under preparation. • Multiple conference presentations at the 3rd National Urban Freight Conference,2009 IERC, ICOVACS 2009, and annual meetings of TRB and INFORMS. • Upcoming conference presentations at the 44th HICSS and INFORMS 2010. • PI Kamath will serve as the Chair for the Supply Chain & Logistics Track at 2011 IERC. • Education • K-12 • NSF sponsored Research Experiences for Teachers (RET) project with Stillwater High School math teacher, Mr. Mark Thomas. • University • Advanced topics course on Supply Chains and Freight Modeling offered in Summer 2009 at OSU. • New course titled “Facility Location, Warehousing and Freight Transportation” offered in Fall 2010 at OSU. • Two M.S. theses, one at OSU related to commodity classification and the other at OU related to scenario analysis completed. • Two independent study projects, one related to a bio-fuels supply chain and the other related to congestion-based supply chain design completed. Sponsored by Oklahoma Transportation Center (OTC) Research and Innovative Technology Administration (RITA) Oklahoma Bioenergy Center (OBC) Center for Excellence in Logistics and Distribution (CELDi) National Science Foundation (NSF)