HMS 2015 Proceeding

Design of a logistic platform through de optimization of agricultural distribution networks in Panama

Authors:   Humberto R. Alvarez A., Andrés Orozco, Nuvia Martez

Abstract

One of the main challenges of the agricultural sector in Panama is the weakness that can be found in the links of the agricultural supply chain. The objective of this project, funded by the National Secretariat of Science, Technology and Innovation of Panama, was to model, for the first time, the supply chain of produces and to design and propose the corresponding policies for the logistic platform that would optimize distribution of agricultural products in the country. Specifically lettuce was used as the main product for the analysis, and an optimization model was developed in order to validate the decisions made, not only with respect to volume but also with respect of the type of vehicle used. A cost analysis was performed in order to study the implications for the different elements of the supply chain. Finally, a decision for a new distribution center was made for different scenarios.

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