Supply Chain Network Design: A Case Study Of Hoa Cuong Wholesale Market In Da Nang City

Abstract

Hoa Cuong Wholesale market is the biggest market in Central Vietnam, this leads to the increase in transportation goods from other cities, provinces of Viet Nam, as well as the return of transportation. However, Hoa Cuong is facing with some problem in supply chain network design and poor forecasting.So, we have successfully built a method to help Hoa Cuong wholesale market fully design the supply chain including purchasing plan, shipping plan, warehouse and store storage plan to guarantee no missing / lost goods. The constraints of the problem are surveyed and built in accordance with the purpose and strategy of Hoa Cuong Wholesale Market. As a result, we have built up a master plan for the company's supply chain, helping the company to reduce VND 560,000,000 per year and propose building 4 new DCs. However, to ensure practicality, we also analyze more sensititvity analysis to prove that the results of the model are optimal and to anticipate situations when demand increases or decreases. Finally we also analyze the environmental, social and economic effects of the model on the environment