Evaluation of alternative logistics operations for the national supply of an imported bulk commodity: The use of a spreadsheet model

Describes the analysis of the logistics system of a supplier of anhydrous sodium sulphate to the Australian market. This examination considered the total cost and customer service implications of the present supply of this bulk product from one Canadian and US west coast source, its unloading at three Australian ports and subsequent distribution to customers in major Australian markets. Examines a number of options for restructuring anhydrous sodium sulphate logistics including the use of a single inbound port and the establishment of a single centralised distribution centre. In addition to these major structural options, examines a number of possible improvements which could be applied to any of them: the installation of a centralised national order processing operation; the reduction of national inventory holdings; changes in the terms of trade; modified relations with distributors; and improved interrelationships with customers. Uses a spreadsheet model to examine these options.