Simulation model improved the design and supplier selection of a new distribution center for Lindex
AFRY was assigned to lead a project to start a distribution center for Lindex together with them. The project included everything from initial calculations, evaluation of conceptual solutions and selection of suppliers, to finalized distribution center.
In the project, several conceptual solutions for the design of the distribution center was to be compared and evaluated. It was decided early in the project that all conceptual solutions proposed by suppliers should be evaluated through simulation.
- It is difficult to make correct evaluations of complex distribution centers, based on layout drawings and functional descriptions as they cantain many uncertainties. Therefore, we decided to evaluate the different solutions through simulation, says the project manager from AFRY.
In the simulation model, the proposed distribution center was tested with realistic historical production data. Performance, cost for operations, flexibility and robustness was evaluated. The simulation made it possible to optimize the distribution center and plan for seasonal changes and staffing. Also, to analyze expected utilization of the storage.
- Thanks to the simulation model, we have been able to identify and correct problems and bottle necks before they have even occurred. The model has also simplified the communication and made it easier to create an understanding in the organization and with the supplier of the distribution center. We do now have a more efficient and less costly logistics flow which both we and the customers benefit from, says Mats Olsson, logistics manager at Lindex.