Modelling, Simulation and Analysis of an Automated Materials Handling System Available to Purchase

The need to design materials handling systems optimally has grown as the cost of material handling equipment has continued to increase. For some facilities, this need is critical due to product obsolescence and quality. Simulation modelling based and factorial experimental design are used to help accentuate some of the decision options regarding the optimum number of carts, the optimum schedule and the minimum acceptable amount of lateness (or tardiness) allowed in the system. The methodology proposed and the experimental design utilized permitted the evaluation of different design options. Using cost and tardiness as the primary criteria, some design alternatives were identified that minimized overall operations and logistics costs thereby satisfying the system′s performance goals.