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

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

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

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

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)

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

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 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 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)

SIMULATION