Cost Optimization for Finished Oil Product Distribution Based on Sales-Production Relationship
Xu Hong · Logistics Technology · 2011
The paper establishes a linear programming model of the distribution cost of finished oil products for three different relationships between sales and production,uses virtual place of sales and production to achieve a state of balance between sales and production when unbalance between the two occurs.Then through studying the present situation of China's finished oil product distribution practices,the paper puts forward the strategy of distribution cost optimization.