Mathematical Model Assisted Six-Sigma Approach for Reducing the Logistics Costs of a Pipe Manufacturing Company: A Novel Experimental Approach

Abstract

This research addresses and analyzes the results of a six-sigma approach used to optimize the logistics costs of a pipe manufacturing company. Two mathematical models are developed for containers to control the company’s logistics. The Mathematical Programming Language (MPL) software is used to generate and solve these models. The results verify that the proposed mathematical models result in the company’s logistics improvement, especially in the DMAIC (define, measure, analyze, improve, and control) cycle by providing flexibility in choosing the most appropriate containers for logistics.

Keywords

• logistics
• DMAIC cycle
• logistics costs
• mathematical models
• mathematical programming language
• six-sigma