Determination of Distribution Route using Linear Programming Model (Case Study at Washing Jeans Company)

Abstract

. Distribution activity is important factor to determine service performance from producer to customer. One of distribution problems is about route determination. Some researches explain about Vehicle Routing Problem (VRP). VRP is a development of Traveling Salesman Problem (TSP) with various modifications such as capacity and time constraints. This research try to use linear programming model to solve the problem of Capacitated Vehicle Routing Problem with Time Windows (CVRPTW) based on Dell’Amico, et al (2007) model with some adjustments such as the index period and some functions in cost. Branch and bound method will be used to solve linear programming model and will give the best route with minimum total distribution cost. Case study at washing jeans company which is used for numerical example aim to determine distribution route which could give minimum total distribution cost and time to company. Distribution costs consist of travel cost and overtime cost. Based on calculation process, washing jeans company will get total distribution cost about IDR 160927 per week and actual route which give cost about IDR 181525 per week. The total saving cost about 20598 IDR per week or 11.35% per week.