Simulation Methods Application for LPG Deliveries Planning and Scheduling to the Network of Stations Under Demand Uncertainty

In our paper we considered the problem of demand uncertainty and its influence on planning and scheduling of LPG deliveries. The experience of specialized transportation company in charge of LPG deliveries for the domestic supplier network under VMI approach was analyzed. High variability of distribution parameters and frequent orders modifications were observed while small stations tanks capacities comparing to high daily LPG sales volumes were considered. The combined use of simulation and optimization methods was proposed for the case of LPG distribution to the petrol stations network. The demand uncertainty at customers' stations was considered. Simulation models were assumed to be efficient for dynamic and robust delivery plans of LPG distribution. The results of computational experiments were presented for different values of coefficient of variation.