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Title: Selection of third-party service contracts for chemical logistics
Authors: Bansal, M. 
Karimi, I.A. 
Srinivasan, R. 
Issue Date: 5-Nov-2008
Citation: Bansal, M., Karimi, I.A., Srinivasan, R. (2008-11-05). Selection of third-party service contracts for chemical logistics. Industrial and Engineering Chemistry Research 47 (21) : 8301-8316. ScholarBank@NUS Repository.
Abstract: Logistics costs in the chemical and related industries are among the highest in asset-intensive supply chains. Having managed the intraplant logistics well for years, companies are now looking for ways to lower the costs of enterprise-wide logistics by increasingly outsourcing a variety of logistics services to third-party logistics (3PL) firms globally. This paper presents a systematic framework for managing chemical logistics in an integrated manner. It presents a novel approach to represent logistics tasks in terms of recipes and recipe superstructures. Using this representation, it develops a mixed-integer linear programming formulation to fulfill the logistics needs of a global enterprise in terms of 3PL contracts and in-house execution. The goal is to obtain the contracts, and thus the 3PLs, that serve the total needs of a company in an integrated manner and with the minimum cost. Several industry-based examples show the utility of our approach. © 2008 American Chemical Society.
Source Title: Industrial and Engineering Chemistry Research
ISSN: 08885885
DOI: 10.1021/ie800132f
Appears in Collections:Staff Publications

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