A Study On Quadratic Logistics Optimization In Hunan Oil Products Company

Recently, with the increase of the enterprise cost, the controllability of thecost of raw material and labor cost comes to the critical points. Logistics, theorigin of the profit of the enterprises, becomes the focus of every trade, and varioustheoretical and practical researches on its optimization are in full swing.Due to some historical reasons, the administration of the logistics of refinedoil product in Hunan Oil Products Company, a branch of Sinopec, is backward withmany problems. The first one is the unreasonable distribution and structure of thelogistics nodes. The second is the lack of rationality in the transportation capacityand delivery routes. The third is the disunity of administration as reflected incertain degree of spontaneity. The next is the irregular delivery of the products dueto the distribution and seasonal shortage of resources. And the last is the lack ofaccuracy in the collection of data in the information platform. All these problemsbecome the obstacles to the improvement of the company’s administration of oilproducts, bring great harm to the company’s benefit and competitive capacity, andmay menace the company’s development and existence.In order to reduce the cost and promote the efficiency, this paper learns a lotfrom the company’s experience and the research home and abroad, and points outsome specific ways in the reducing of the cost logistics and the promotion ofeconomic benefits, such as the accurate prediction of sales amount, the reasonablecontrol of shortage, the replenishing, the scientific schedule of delivery. Theseconcrete methods cover every aspect of the delivery and the optimization ofquadratic logistics.This paper discusses every link in the delivery chain of product oil, andprovides scientific solutions, thus is highly practical. It may be advantageouslyused in guiding quadratic logistics of product oil in the company.The optimization the logistics in Hunan Oil Products Company can reduce thetransport cost, shortage and the labor cost; in the meanwhile, it can improve laborefficiency, the management and market competitiveness.