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Optimization and Simulation of Fuel Distribution. Case Study: Mexico City

  • Ann WellensEmail author
  • Esther Segura Pérez
  • Daniel Tello Gaete
  • Wulfrano Gómez Gallardo
Chapter

Abstract

In this chapter, the combined use of optimization and simulation in the design of a distribution network for hazardous materials in the northern region of Mexico City is assessed. A mathematical programming model was developed to allow for fuel dispatch truck allocation, minimizing the total distribution cost. Heuristics were used to solve the model and different simulation scenarios were applied to do what-if analysis to be able to decide on different managerial situations. Reviewing simulation and optimization results, an appropriate estimate of the fuel quantity to order (EOQ), the best type of truck to carry out the supply, as well as the ordering schedule that minimizes the associated costs of distribution and inventory, is provided. This real-life Mexican case study shows how a combined optimization-simulation approach, specifically taking advantage of heuristic methods to diminish computing time, can provide a practical, efficient and flexible tool for optimization assessment in operational research.

Keywords

Planning Horizon Storage Tank Service Station Greedy Randomize Adaptive Search Procedure Mathematical Programming Model 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer International Publishing AG 2017

Authors and Affiliations

  • Ann Wellens
    • 1
    Email author
  • Esther Segura Pérez
    • 1
  • Daniel Tello Gaete
    • 2
  • Wulfrano Gómez Gallardo
    • 1
  1. 1.Facultad de IngenieríaUniversidad Nacional Autónoma de MéxicoMexico CityMexico
  2. 2.Facultad de Ciencias de la IngenieríaUniversidad Austral de ChileValdiviaChile

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