1. SIMULATION The study for efficiency of the Inland Container Transportation Hee-jin Lee, Sang-oh Kang, Jae-young Park, Hoon Lee 15 th November, 2006

2. SIMULATION Contents 1. Background 2. Objective 3. Company Introduction 4. System description 5. Simulation Approach 6. Verification method of simulation

3. SIMULATION Background - Increase of import and export freight is an important problem in the container transportation - Most of Single-trip and Round-trip Transportations are separated to each transportation type and not change. - Increasing the Transporting distance and time Increasing the Transportation cost and the number of necessary vehicle

4. SIMULATION Objective  Modeling for existing transportation system by using Arena  Finding a new solution (route) for improving the present system -> Analyzing the results of present system and improved system  Combination of Single-trip and round-trip transportation  Using the rail transportation  Improving the present transportation system  Minimizing total distance and total time  minimizing the total cost

5. SIMULATION Company Introduction - Company : CHUNIL Cargo Transportation Co., Ltd. - Major business: home-delivery service CY operation steel and bulk transportation - The number of truck : 150 (in Busan) - Object of study : Inland Container Transportation - Contents of object managing the transportation orders of customers which is linkage between national city and busan (depot)

6. SIMULATION System Description Collect data (Orders) Assign the Order Single-trip Transportation Round-trip Transportation Rail Transportation Finish 1.Assign new order to rail transportation “only if train is not occupied” 2. Combine the coverage route (round + round, round + single, single +single) 3. Return, if there is no satisfied route ( in the combination step ) Transport Return

7. SIMULATION Simulation Approach  Data -Transporting time and distance -Requirement time -Order type : delivery, pick-up -Trip type : single (delivery, pick-up), round (D + P, P + D) -Destination ( 11 kinds of cities )  Assumption -The number of vehicles are infinite -Container size :40 Ft ( each containers use only 1 truck ) -Container type : Dry container -Every vehicle depart from busan and go back to busan -Regard every CY and Port as just one station

8. 8 Verification method of simulation  Verifying Data = Total transportation cost ( Vehicle transportation cost + Rail transportation cost ) I. Vehicle Transportation cost (each vehicles) I. Company’s charge (return) - [Customer’s Fare (from busan to destination) + Company’s charge (return)]*10% -> Driver’s profit ( Increasing the number of vehicles -> Increasing the cost ) II. Each fare is depends on the distance between cities III. Each fare can be changed by “ Trip type “

9. 9 Verification method of simulation (cont.) From busanKwang- yangOk-chunBu-gok Distance232 km257 km410 km Fare (won)674 Type rate (won)674* 74% -Rail Transportation I. There are 4 kinds of station ( busan, kwang-yang, ok-chun, bu-gok ) II. This charge depends on the “ trip type “ -- Distance ( classified by each station ) * Type rate (empty container) -- Distance ( classified by each station ) * Fare (full container)

10. SIMULATION