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Jirawan Niemsakul Sripatum University Chonburi Campus Chonburi, Thailand, 20000

INFORMS 2009: San Diego, USA October 13, 2009. Problems Analysis and Truck Allocation in Sugarcane Transportation to Sugar Mill Case Study: Sugar Mills in the Eastern Thailand. Jirawan Niemsakul Sripatum University Chonburi Campus Chonburi, Thailand, 20000 klinsi_07@hotmail.com. Content.

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Jirawan Niemsakul Sripatum University Chonburi Campus Chonburi, Thailand, 20000

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  1. INFORMS 2009: San Diego, USAOctober 13, 2009 Problems Analysis and Truck Allocation in Sugarcane Transportation to Sugar Mill Case Study: Sugar Mills in the Eastern Thailand Jirawan Niemsakul Sripatum University Chonburi Campus Chonburi, Thailand, 20000 klinsi_07@hotmail.com

  2. Content • Introduction • Description of problems • Transportation strategies • A mathematical model • A case study of a sugar mill

  3. Introduction The major income of Thailandis from agriculture Thailand exported sugarmore 1,000 millions dollarsand produced sugarcane67,197,817 tons Eastern Thailand produced sugarcane about 4,641,118.54 tons in 2007/08

  4. Inbounds logistics Raw material (cane) Transportation (Truck) Queuing system FIFO Owned by farmer Quota area Locked queue Rented truck FIFO +Locked dump (fresh cane) Extended area Owned by mill FIFO +Locked dump (extended area)

  5. Description of Problems

  6. Description of Problems Amount (Ton) Supply over demand 2 1 3 18,000 Mill Capacity Supply less than demand Time (Month) Dec. Jan. Feb. Mar. Apr. May

  7. Transportation strategies • Database management • Transport center • Planting • Clustering • Truck allocation • Truck energy system • Routing • Technology

  8. Mathematical Model Decision Variables Xijk= Sugarcane supply delivered by owned truck i of area j, period k Ymjk= Sugarcane supply delivered by rental truck m of area j, period k TXijk= Number of transportation times of owned trucki of area j, period k TYmjk= Number of transportation times of rental trucki of area j, period k

  9. Mathematical Model Objective Function Minimize total transportation cost • Fuel cost • Driver cost • Transport service cost • Maintenance cost • Losing cost

  10. Mathematical Model Fuel cost Driver cost Transport service cost Maintenance cost Losing cost

  11. Mathematical Model Constraints • Mill capacity • Sugarcane supply • Quota contract of truck • The used priority weight of truck using • Limited transportation times of truck per period • Balancing between transportation times and sugarcane supply per period

  12. A Case Study of Sugar Mill Sugarcane truck allocation for 2 areas in 60 periods (baht) Current System Proposed Fuel cost 5,047,246 6,438,322 Driver cost 3,564,000 7,128,000 Transport service cost 2,904,000 1,770,000 Maintenance cost 6,334,416 6,334,416 Loosing cost 25,024,680 18,784,420 Total 42,874,34240,455,160 Total transportation cost can be decreased 5.64%

  13. A Case Study of Sugar Mill Area Current System Proposed Owned truck Rental truck Owned truck Rental truck 1 148 16 (all) 148 16 (some periods) 2 50 6 50 0 Number of trucks in queuing system can be decreased 2.73%

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