Applying multidisciplinary logistic techniques to improve operations productivity at a mine

This case study uses a surface mine to investigate multidisciplinary logistics analysis methods for improving refinery operations. Existing resource scheduling, inventory forecasting, and economic production quantity procedures have not been able to identify how to improve productivity. The objective was to locate and demonstrate proven techniques from operations research (and other related disciplines) which could be applied to solve logistics problems. Historical operations data along with a new sample (n = 140) were utilized for the analysis. Preliminary parametric tests failed, but later a multiple server queue model was developed by integrating nonparametric techniques, waiting line theory, stochastic probabilities, and break-even scenario analysis. Quantitative and qualitative data were analyzed, resulting in a solution to increase truck arrival rates by 10% which was projected to increase refinery utilization by 7–77%, thereby generating a potential productivity savings of $161,223.31 per year.