Simulation modelling for logistics re-engineering in the construction company

Much attention is being paid to the significant role of logistics in the construction industry, with reference both to the total supply chain and to its individual links, called the ‘internal logistic system’. Rationalization of activity in the logistics sphere leads to lowered production costs and increased quality. However, rationalization of logistic processes often involves re-engineering, i.e. reconstruction or making changes, for instance in the structure of supply chains, in the organization of physical and information flows, in ways of taking up decisions, etc. This paper describes the effectiveness of a simulation modelling approach in improving logistic systems in construction, by applying information collected from Polish construction practice. Graphical and analytical models of company logistic systems are the basis for making simulators using GPSS World™. Two models of different structures from the point of view of physical and information flow were chosen, several different strategies for controlling these flows were worked out, values of particular parameters of the model were defined and the optimum solution was sought. The assumed optimization criterion is minimizing logistics costs. An analysis of the research results can be used to indicate re-engineering needs for the internal models of the logistic systems investigated.