A systems‐based approach for city logistics decision making

This paper presents a systems based approach for the city logistics decision making. Using this approach, we present the layout of a simulation model called CILOSIM (CITY‐LOGISTICS‐SIMULATION). CILOSIM encapsulates three sub‐models namely Goods to Vehicle Assignment model, Goods movement model and Impact assessment model. The Goods to vehicle assignment model allocates commodities to vehicles. The Goods movement model performs the scheduling and routing of goods vehicles from the source of origin to source of destination. The routing and scheduling decisions for vehicles are done taking into account the latest traffic conditions existing on the network. Finally, Impact assessment model evaluates the impact of goods movement on city environment and society. The advantage of using the systems approach is that it explains the dynamic and complex nature of city logistics in terms of cause and effect variables. Another advantage is that it permits the user to have a global view of city logistics problems and provides possible solutions in terms of few system variables.