Cost optimization in the urban distribution of dairy supply – A case of Sanchi, Bhopal, India

Abstract

The study focuses on optimizing urban distribution in the dairy industry, specifically at Bhopal Sanchi dairy, to enhance efficiency and minimize costs. It evaluates existing routes, identifies inefficiencies, and proposes new distribution strategies. By implementing these changes, significant improvements are achieved, reducing total distribution costs and dead kilometers while improving vehicle capacity utilization. The study emphasizes the importance of addressing urban distribution challenges to meet increasing milk demand efficiently. It contributes to developing sustainable dairy distribution systems by optimizing costs and minimizing losses. ArcGIS software is utilized for route and fleet optimization analysis. Overall, the research addresses the critical need for efficient urban dairy distribution, particularly in India’s context as a major milk producer.

Keywords

• Urban distribution
• dairy supply
• cost optimization
• route optimization
• urban freight