Operational Analysis: Integer Programming Model
Kohls Supply Chain
Objective: Generate a solution to Kohl's supply chain issues to optimize the current distribution network and conduct efficient everyday operations.
Analysis Conducted:
Company Background
Problem Identification
Solution Identification —> Data, Method, Results
Establish expenditures, propose additional distribution centers
Analyze proposed distribution optimization utilizing Mixed Integer Programming Method and Decision Variables with functions & Constraints
Findings: Four new distribution centers, specifically in the Midwest, West, Southeast, and Northeast regions, will allow Kohls to meet their supply chain demands.
Kohl's operational shortages caused by supply chain challenges can be significantly reduced by opening four new distribution centers in the specified regions. This strategic expansion aims to streamline product distribution and improve inventory management. However, it is crucial for Kohl's to consider the impact of external factors, including employee wages, delays in product sourcing channels, and environmental constraints exacerbated by the COVID-19 pandemic when making decisions around operational efficiency.
