Study On The Application Of Baumol-Wolfe Model And Its Algorithm In Selection Location Of Distribution Center

Modern logistics is an advanced organize manner and manage technique.It is an important profit source except reducing material assets cost and increasing productizing. Logistics center is an important integral part of logistics,the upper reaches is the manufacturers and downstream is users,play a role of connecting link in the logistics system.Choose reasonable logistics center can save cost effectively,promote production and consumption coordination and cooperation,ensure that the logistics system the efficient developing effective and balance.Research the distribution center location decision for better promoting logistics rationalization,Logistics rationalization has important theoretical and practical significance.On the base of basic knowledge of logistics center,this paper,firstly,put out the purpose and significance about this paper by researching logistics developing condition at home and abroad,in succession identify the research content,method and technology roadmap,also research and analysis the theory about logistics and distribution center. The article clearly describe the logistic center scientific according to microeconomic and macroeconomic,investment main body,service area,distribution logistics center and hinge logistics center location are all be studied specially.Secondly,combined the method study's advantage and disadvantage about distribution center location decision in china and abroad existed,establish the main factors and principles that impacting distribution the center location decision through analyzing the influence factors on distribution the center location decision,and establish reasonable location decision mathematics-economy model for minimizing total cost.That is Baumol-Wolf model to select distribution center location.This model considered the constrains and objective functions which are more close to reality,and solved the mathematics model combine elicitation method,at the same time,selected the best scheme.Meantime analysis and evaluate the model simply.Finally,quote an example of Xi'an city demonstrating the specific algorithm and steps,meanwhile authenticating the effectiveness and practicality of the algorithm.By frontal researching and analyzing,we can educe such conclusion:This model not only consider the transport costs,but also some part of the variable costs,so it has great practicability,can used not only in location selecting on more distribution centers, but also in selecting sale location,reserve center and public circulation center,act.