Logistics system model optimization of an enterprise producing one type of goods

Keywords: logistics system, production capacity, economic and mathematical model


Purpose – to develop the logistics system (LS) model of an enterprise that allows performing joint model optimization of production capacity, retail network, and advertising campaign using J. Forrester's approach.

Findings. The paper elaborates on a numerical method for solving the optimization problem based on a system of equations in discrete time form. There we had the time behavior computations of all logistics system rates (production and supply), including the stocks’ level in the wholesale and retail sales networks. The optimization problem of determining the maximum economic efficiency is formulated and solved.

Theoretical implications. The paper's research performed in the paper forms a methodological basis for the mathematical model development of various logistics systems.

Practical implications. The created model is applicable for optimizing or determining the logistics systems’ optimal parameters.

Originality/Value. The authors' logistics system model is original. The model has no analogs in the scientific literature.

Research limitations/Future research. The main limitation is producing one type of product by an enterprise. Further research should reflect the product diversification possibility.

Paper type – theoretical.


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How to Cite
Sherstenikov, Y. V., Yakovenko, A. G., & Bortulov, Y. S. (2020). Logistics system model optimization of an enterprise producing one type of goods. European Journal of Management Issues, 28(1-2), 52-62. https://doi.org/10.15421/192006