K-means clustering for optimization of spare parts delivery

Abstract

Transhipment is an important logistics strategy that helps to improve supply chain efficiency and reduce transportation costs. It enables cargo to be transported to multiple destinations using different modes of transportation, such as ships, trains, trucks, and planes. This can help to reduce the overall transportation time and cost, as well as improve inventory management and distribution. In addition to its use in logistics and transportation, transhipment can also be used in other industries such as manufacturing, where it can be used to transfer raw materials or finished products between different facilities or production lines. This research paper examines the role of transhipment in improving the efficiency of spare part delivery systems to the PMPML depots from central workshop Swargate. PMPML has 12 depots in total (including central workshop). In many industries, the supply chain for spare parts is complex, with multiple suppliers, warehouses, and service centres involved. Transhipment, or the transfer of inventory between locations, can help to reduce lead times and improve inventory availability. In this paper, we analyze the impact of transhipment on key performance metrics such as order fulfilment, inventory turnover, and transportation costs. We also discuss the challenges associated with implementing transhipment in spare part delivery systems, including coordination between different parties, data sharing, and system integration.