Optimization of cargo ship allocation for increasing shipment lane and minimizing logistic cost by using Cargo Allocation Model (CAM) method

Inaki Maulida Hakim, Rifky Putra Fadillah, Alvin Ihsan

Research output: Chapter in Book/Report/Conference proceedingConference contribution

Abstract

Indonesia is the largest archipelagic state and also being maritime country. It is supported by the fact of Indonesia has 13,466 islands which have large potentials in fishery and can be utilized for logistic and shipping operations. Many business entities operate in fishing industry, wants to utilize its fish vessel into cargo ship and passenger (commercial) ship. This research discusses what kind of costs that will arise by operating its passenger cargo ship and what kind of income from its cargo ship and passenger ship after they are operated. Thus, the research focuses on those two major problems. The analysis was done by using Cargo Allocation Model (CAM) Method for determining the cargo placement to optimize the operation. Yielding variables can consist of special integers (variable numbers). In addition, constraints, decision variables, and parameters for the allocation of these vessels are clear enough The result shows that it could increase its cargo freight until 80%. In other hands, it needs to decrease the fuel cost and increase the cargo fare in terms of decreasing the operational cost of cargo ship into IDR 473,345,834 per month.

Original languageEnglish
Title of host publication2nd International Conference on Science, Mathematics, Environment, and Education
EditorsNurma Yunita Indriyanti, Murni Ramli, Farida Nurhasanah
PublisherAmerican Institute of Physics Inc.
ISBN (Electronic)9780735419452
DOIs
Publication statusPublished - 18 Dec 2019
Event2nd International Conference on Science, Mathematics, Environment, and Education, ICoSMEE 2019 - Surakarta, Indonesia
Duration: 26 Jul 201928 Jul 2019

Publication series

NameAIP Conference Proceedings
Volume2194
ISSN (Print)0094-243X
ISSN (Electronic)1551-7616

Conference

Conference2nd International Conference on Science, Mathematics, Environment, and Education, ICoSMEE 2019
CountryIndonesia
CitySurakarta
Period26/07/1928/07/19

Keywords

  • Cargo
  • Cargo Allocation Model (CAM)
  • Operational
  • Passenger
  • Utilization

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    Hakim, I. M., Fadillah, R. P., & Ihsan, A. (2019). Optimization of cargo ship allocation for increasing shipment lane and minimizing logistic cost by using Cargo Allocation Model (CAM) method. In N. Y. Indriyanti, M. Ramli, & F. Nurhasanah (Eds.), 2nd International Conference on Science, Mathematics, Environment, and Education [020035] (AIP Conference Proceedings; Vol. 2194). American Institute of Physics Inc.. https://doi.org/10.1063/1.5139767