Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives

An essential activity in the delivery of goods by logistics service companies is how to deliver goods to consumers according to the agreed time with minimal costs. A case study was conducted on one of the logistics service companies in Bandung, which has an exciting feature: promising goods to consu...

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Main Author: Farida Sihotang
Format: Article
Language:English
Published: Universitas Ahmad Dahlan 2024-10-01
Series:Spektrum Industri: Jurnal Ilmiah Pengetahuan dan Penerapan Teknik Industri
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Online Access:https://journal3.uad.ac.id/index.php/spektrum/article/view/195
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author Farida Sihotang
author_facet Farida Sihotang
author_sort Farida Sihotang
collection DOAJ
description An essential activity in the delivery of goods by logistics service companies is how to deliver goods to consumers according to the agreed time with minimal costs. A case study was conducted on one of the logistics service companies in Bandung, which has an exciting feature: promising goods to consumers within 24 hours. The interesting thing about this company is that it uses the rest of the luggage of travelers traveling to the destination city by plane. In existing conditions, problems often arise, namely, goods do not reach customers according to the agreed time. This causes losses to the company because it must pay a late penalty. Therefore, the author designed several alternatives to meet freight forwarding in less than 24 hours. This study aims to optimize the cost of shipping goods from various alternatives by considering the delivery time of less than 24 hours. This study uses an experimental method with a system model to conduct simulations. Parameters use primary data from the company and secondary data from websites. The author designed two alternatives to shipping goods if no match was found with the traveler. The first alternative is to use air cargo at Bandung Airport. The second alternative is that if it is predicted that the goods will not reach the customer within 24 hours through Bandung Airport, they will be sent to Soekarno Hatta Airport Jakarta using a truck. A match with the traveler at the airport will be sought. The second alternative is also considered if there is no match with the traveler, then the delivery of goods uses air cargo. The simulation results provide a total cost for alternatives 1 and 2 of IDR 69,779,084.40/month and IDR 107,025,296, respectively, for goods that do not meet the delivery of less than 24 hours for alternative 1, namely nine items/month or 1% of the total shipment and alternative 2, namely 19 goods or 2% of the total delivery. The simulation in this study resulted in choosing the first alternative as the best alternative with the lowest cost.
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institution Kabale University
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2442-2630
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series Spektrum Industri: Jurnal Ilmiah Pengetahuan dan Penerapan Teknik Industri
spelling doaj-art-28636dffaa3d4e3a9840e5aad9c368052025-08-20T03:47:24ZengUniversitas Ahmad DahlanSpektrum Industri: Jurnal Ilmiah Pengetahuan dan Penerapan Teknik Industri1693-65902442-26302024-10-0122214115410.12928/si.v22i2.195195Cost Optimization for Logistics Services: A Simulation Approach to Delivery AlternativesFarida Sihotang0Sekolah Tinggi Teknologi BandungAn essential activity in the delivery of goods by logistics service companies is how to deliver goods to consumers according to the agreed time with minimal costs. A case study was conducted on one of the logistics service companies in Bandung, which has an exciting feature: promising goods to consumers within 24 hours. The interesting thing about this company is that it uses the rest of the luggage of travelers traveling to the destination city by plane. In existing conditions, problems often arise, namely, goods do not reach customers according to the agreed time. This causes losses to the company because it must pay a late penalty. Therefore, the author designed several alternatives to meet freight forwarding in less than 24 hours. This study aims to optimize the cost of shipping goods from various alternatives by considering the delivery time of less than 24 hours. This study uses an experimental method with a system model to conduct simulations. Parameters use primary data from the company and secondary data from websites. The author designed two alternatives to shipping goods if no match was found with the traveler. The first alternative is to use air cargo at Bandung Airport. The second alternative is that if it is predicted that the goods will not reach the customer within 24 hours through Bandung Airport, they will be sent to Soekarno Hatta Airport Jakarta using a truck. A match with the traveler at the airport will be sought. The second alternative is also considered if there is no match with the traveler, then the delivery of goods uses air cargo. The simulation results provide a total cost for alternatives 1 and 2 of IDR 69,779,084.40/month and IDR 107,025,296, respectively, for goods that do not meet the delivery of less than 24 hours for alternative 1, namely nine items/month or 1% of the total shipment and alternative 2, namely 19 goods or 2% of the total delivery. The simulation in this study resulted in choosing the first alternative as the best alternative with the lowest cost.https://journal3.uad.ac.id/index.php/spektrum/article/view/195logisticstravelerssimulationcostlate penalty
spellingShingle Farida Sihotang
Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
Spektrum Industri: Jurnal Ilmiah Pengetahuan dan Penerapan Teknik Industri
logistics
travelers
simulation
cost
late penalty
title Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
title_full Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
title_fullStr Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
title_full_unstemmed Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
title_short Cost Optimization for Logistics Services: A Simulation Approach to Delivery Alternatives
title_sort cost optimization for logistics services a simulation approach to delivery alternatives
topic logistics
travelers
simulation
cost
late penalty
url https://journal3.uad.ac.id/index.php/spektrum/article/view/195
work_keys_str_mv AT faridasihotang costoptimizationforlogisticsservicesasimulationapproachtodeliveryalternatives