Internal Logistic Infrastructure Planning for Phosagro Apatit

We developed a simulation to support quantitative evaluation of internal logistic network development scenarios. The main challenges captured by the simulation were efficiency of trucks routing policies and sharing personnel between different locations. Client – Phosagro holding company, one of Russia’s leading mineral resources company.
Period: July 2013 – November 2013
Industry sector: Mining
Client / Partner: Kirovsk branch of Apatit (Phosagro holding company) / LFA Rus

Project objective
  • Development of the internal logistic network plan of mineral resource company Apatit
  • Determination of expediency of construction of a new central warehouse
  • Determination of logistic resources requirement (lifting equipment, automobile transport, loading and unloading fronts)

Our scope of work

  • The simulation model concept development
  • Development of the simulation model on the AnyLogic 6 platform
  • Processing and cleaning of data for modeling
  • Verification of the model and collected data
  • Planning of scenario analysis with the participation of the experts
  • Scenario analysis using the simulation model
  • Interpretation the scenario analysis results for the client

Simulation model inputs

  • Internal logistic network topology (6 mines, 3 enrichment factories, central warehouse)
  • List of logistic categories of materials and their dimension and weight measurements
  • Standard performance of loading and unloading operation
  • Algorithms of transport dispatching
  • Algorithms of logistic resources management

Simulation model structure elements

  • Input data file of scenario in MS Excel format
  • Simulation model with interactive presentation
  • Data aggregation module that allows to generate MS Excel files with the simulation results

Simulation model outputs

  • Service level of production sites supply
  • Logistic resources utilization
  • Logistic resources requirement
  • Requirement of storage capacity in central and workshop warehouses

Project result

  • Logistic resources requirement and storage capacity requirement are determined considering the existing network configuration and cargo flows forecast
  • Internal logistic network development options are evaluated using the operational and financial indicators
  • There was determined ROI of the project for construction of a new central warehouse

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