Center of Gravity Method in Distribution Center Location (1)

7/23/2019 Center of Gravity Method in Distribution Center Location (1)

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Center of Gravity Methodin Distribution Center

Location


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Step 1:

Place existing warehouse ful!ll"entcenter and distribution centerlocations in a coordinate grid#

Place the grid on an ordinary "ap#

$he relative distances "ust benoted#


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Step %

$hen using the e&uations below

Cx' ( dix )i* ( )i

Cy' ( diy )i* ( )i

+e calculate the , and - coordinates usingthese e&uations where Cx is the , .hori/ontalaxis0 coordinate for the new facility# Cy is the -.vertical axis0 coordinate for the new facility dix

is the , coordinate of the existing location diyis the - coordinate of the existing location and)i is the volu"e of goods "oved to or fro" theith location#


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Step

2nce you have obtained the , and -coordinates place that location onthe "ap#


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3xa"ple

Let4s assu"e the following:

+arehouse 1 has a daily outboundgoods volu"e of %566 units

+arehouse % has a daily outboundgoods volu"e of 166 units

+arehouse has a daily outboundgoods volu"e of 5666 units


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$he current coordinates of the

existing facilities:


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Given the assu"ptions and gridcoordinates above we get the following:

d1x' %66

d%x' 66

dx' 166

d1y' 56

d%y' 166

dy' 156


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7nd

)1' %566

)%' 166 )' 5666


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+hich gives us

Cx' .%66 x %5660 8 .66 x 1660 8.166 x 56660 * .%566 8 166 856660 ' 159

Cy' .56 x %5660 8 .166 x 1660 8.156 x 56660 * .%566 8 166 856660 ' 11


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plot the new suggested warehousecoordinates on the grid we would get:

Center of Gravity Method in Distribution Center Location (1)

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