Getir has2warchouses for fruits and vegetables. One central warehouse where they receive fruits and vegetables from their
Question:
Getir has 2 warchouses for fruits and vegetables. One central warehouse where they receive fruits and vegetables from their suppliers. The other one is dealer warehouse. Central warehouse ships products to the dealer warehouse based on the demand from the dealer. At the dealer warchouse %20 of the products found to be defective due to rotting or package damage. It takes dealer 2 days to recognize the defect at their side. As soon as they recognize, since they cannot be sold to the customer, they are sent back to central warehouse to be sorted and repacked to be sent back to dealer. Same day delivery from central warehouse to dealer: central warehouse sends the product; the dealer receives it same day.
The quality of the sorting and repacking process at the central warehouse affects the percentage of products that can be salvaged and sold to dealer. Only 12% of the procts can be salvaged.
a) Develop the system dynamics model of this case. Include model variable units and equations.
b) If you want to consider the costs associated with this problem. Which costs would you include to improve profitability?