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Prof. Agostino Villa, Politecnico di Torino
Student: Sajjad Khaksari
April 23, 2015
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Production System Analysis &
Italian Transport Companies

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A briefly endeavor to modeling
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Is it possible to use the method we use to analyze the production system for analyzing a
transport company? My brief endeavor and research to modeling a transport company has
started by asking this question. The question was that is it possible to assume a delivery good as a
PF (final Product)? In addition to find out the Elementary Operations, Components, Resources,
Production Functions, Agents, Information patterns and Organizational Chart! Moreover the
basic informations about the Transport Company services are from De Poli Autotransporti srl.
!
So to find out which kind of information we need, lets start with explaining the main
factors, those could build a Product Tree. Then we try to give them mathematic term:
!
❖ Components
❖ Elementary Operations
❖ Resources
❖ Production Functions
❖ Agents
❖ Information patterns
❖ Organizational Chart
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!1TRANSPORT&PRODUCTION
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Adopting and assuming some essential contraction
We assume that FP is satisfactory of client by delivering good Pi to Ij . Furthermore i = 1, … , n ;
they are different products (goods) from the same client (producer). For example in this case, we
assume that OV (officina Vica) who is one of the most important supplier for Iveco and other
vehicle producer, give Pi to dp (De Poli autotrasporti) and requests a Transport service.
!
So I that is Iveco in this case, works as a one of the most important client for OV. In addition OV
is supplier for Iveco. So we can assume it as Sn = suppliers; n = 1, … , n. Also in this case OV is
one of the Iveco’s suppliers. Time by time Iveco asks OV to support her by raw materials or
pieces, those are necessary for JIT production line plants in Lungo Stura Lazio. However Iveco
has not just one Delivery Point so we call them j = 1, … , n ; they are different point of delivery.
!2TRANSPORT&PRODUCTION
Satellite map of Ivevo in Lungo Stura Lazio. We see that Iveco as an
individual who wait to receive her goods from supplier (and her
transport&logistic agents) has different Delivery Point all in the same plant.

So to manage and work in performance&efficiency mode, its important to
know where is the right place to Unloading?
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!3TRANSPORT&PRODUCTION
OV
IVECO
dp
Another important choose the logistic manager should do
is Rout Deciding. In non-organized and traditional
companies this critical decision has leaved in the hands
of drivers, based on their own personal experience.



This nonsystematic and non-digital Decision Making
transport activity sometimes creates expensive problems.

!
In contrary, imagine that one modern and organized
transport&logistic company, that is familiar to use modern
navigating systems. This electronic/informatics devices are
connected and updated. In addition imagine one business
day an accident happens in highway! So what will
happened to nonsystematic guy?!! Yes, you got the point
and you can imagine the tragedy could happened!!!
Another important choose the logistic manager should do is rout deciding. Nonsystematic and
non-digital Decision Making sometimes create costly problems.
The table of Production functions
Here we assume some principal activities, they are happing normally during a transporting and
logistics. For sure in reality the type of these functions will be depend to feature of goods and
other practical index of the products and facilities. 

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The table of Resources
In the case of Resources, please mention that for having a simple imagination of dp transport
system we assume to put just one kind of Forklift or Van or etc in the table of the Resources.
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It doesn't mean that in reality for Loading or Unloading operations, we need just one type of
Forklift! Because depending to the weight, size, features and etc. of goods the necessity to utilize a
specific kind of Forklift will be change!
!
The same situation is exist about Vans, Trucks, Trailers and lorries. For example in dp, there is
some trailers you can NOT attach them to different type of trucks! So that means more
limitation for logistic organization plus additional attention to choose the right vehicle, right
trailer and right driver to serve the specific service, requested by specific customer!
R1 R2 R3 R4 R5
!4TRANSPORT&PRODUCTION
N Production Functions
1 Loading
2 Unloading
3 Entering to the plant
4 Exiting from the plant
5 Driving
6 Tack/release Documents
7 Preparing Vehicle
8 Control
9 PAC
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These are just some of the various example represent the importance of choosing the the right
vehicle, right trailer and right driver to serve the specific service, requested by specific customer!
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!5TRANSPORT&PRODUCTION
Specific Trailer, that needs specific Truck
Here (metal tubes) special goods, they needs specific
fixing system and special crane
Cheeses, Foods, farms and ATM goods
need specific Trailer (Frigo)
In this case the clint is NOT satisfied because for fixing these
huge bobbin the trailer floor should be wood rather than iron!
Resources Tasks
R1 Forklift
R2 Van
R3 Truck
R4 Trailer
R5 Trailer Trainer
The table of Agents
The personal experiences of author belong working in two Italian families transport companies, as a
normal driver not as a luxe managers (those never put himself in practical/rude reality of difficult
job situation), illustrate that in the companies those are managed by family, CAP is la mamma!

!So they manage every things on base of their personal (non academic) experiences! They believe,
the main problem they have is Italian economy crisis not any thing else! They just trust to other
member of family (as a her sons, or husband or son or daughter of her sisters/brothers etc.) not
any one else. That means, even the STAFF is a member of family (normally the Son).
!Others are just workers and they have to follow the STAFF and mamma CAP even if they are
working in some Decision Maker agent. That means even if you graduated in SCM or if you
have more academic information about logistics and transport, you haven’t space to realize them.
Furthermore these kind of companies are not familiar with modern Accounting systems,
Customer Relationship Manager systems, SCM systems etc. (see Exhibit A)
!But in Italy, family company has an advantage! They work hard for company, because they feel
all things they have is that. So we can say they aren't generous with others but kind with there
Company and they never steel of there personal job!
!
!
Standard Transport Time
Another important factor to analyze the Time. Time to reach the customer, time to loading,
necessary time to drive the distance between the customer and delivery point. Moreover when we
talk about heavy transport systems, we can not forgot the Maximum Time of Services any driver
has permission to do during the day and totally during the week.[the informations in the followed chart
are based on attached excel file analyzing one working day of dp (Exhibit B)]
Agents Assigned production Functions Type Responsibility on Subordinated to
DM1 Loading&Unloading LO Storhouse STAFF
DM2 Driving (Drivers) LO Transport STAFF
DM3 Logistics Sub-Control LO Logistic Activities STAFF
DM4 Logistics Control STAFF Activity of System CAP
DM5 Company (Transport) Activity Control CAP System ——
!6TRANSPORT&PRODUCTION
The resolute are incredibly interesting. Because in practical transport world, the public opinion is
totally contrary. The companies, those work yet in the traditional transport working, believe that
who waste time is truck driver!
!
but the statical result in this case illustrate, just 24 % of a driver work time delicate to driving. All
other 76% are wasted for repeatedly waiting! In addition driver is obligated to do other
operations. These operations are normally Loading, Unloading, Tacking or releasing necessary
transport documents etc.
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!7TRANSPORT&PRODUCTION
4%
10%
22%
23%
11%
24%
6%
Reach Customer Driving Wait for Loading Wait for Unloading L + tack doc.
UL + tack doc. etc.
Rout Analyzing
One of the strategical advantage for transport companies is the method that company use to find
a best rout (way) in fastest time! Its difference with finding the fastest way! Anyway this element
could effect seriously on the total time of the delivery.
!
Specially in express couriers, this point is the Achilles Heel. The below diagram illustrate the
importance of being connected, updated, informed and integrated.
!
!8TRANSPORT&PRODUCTION
Updated and organized transport&logistic companies, those are familiar to benefit form
modern navigating systems (Real-time Optimization System), have a Core Transport Network
and an efficient work sequence cycles, that is founded on an electronic/informatics devices.
(See exhibit C)
Problem Tree
We you the Problem Tree as a fundamental imagination of what is happening in the production
line to produce the Final Product. So after all these introduction about transport operation, we
come back again to the first question we have discussed before. Is it possible to use the method we
use to analyze the production system for analyzing a transport company?
!
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!9TRANSPORT&PRODUCTION
PF2 = Final unloading of goods
PF3 = Entering to the plant
Doc. = Transport’s Documents has taken
L = Goods has Loaded
FP = Satisfactory of client by delivering his goods Pi to Ij
GE = Goods has entered to Delivery Point
GA = Goods (vehicle) has arrived to the plant
PF5 = Driving
GA = Goods (vehicle) has exited from the plant
PF4 = exiting from the plant
PF6 = Documents has taken
PF1 = Loading operation
VA = Vehicle has arrived to the plant
VE = Vehicle has entered to client’s plant
PF3 = Entering to the plant
VX = Vehicle has exited from the plant
PF5 = Driving
VR = Vehicle is ready to start working
PF4 = exiting from the plant
NV = Non prepared vehicle for work
PF7 = Vehicle preparing
Exhibit A: mamma CAP companies normally are not familiar with modern Accounting systems,
Customer Relationship Manager systems, SCM systems etc.
!10TRANSPORT&PRODUCTION
In traditional transport companies, they waste a lot of times for doing accounting payable,
receiving and paper writing the requests for transport services, organizing etc.
Modern and organized transport&logistic companies, those are familiar with modern
Accounting, managing and navigating systems, work efficiently and comfort.
Exhibit B: Illustrate a statistic analysis based on calculating time to reach the customers, time to
loading, necessary time to drive the distance between the customer and delivery point etc.
!
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!
!11TRANSPORT&PRODUCTION
Exhibit C: Some more information and statistics with global view about Italian and European
transport&logistics systems and companies.
!12TRANSPORT&PRODUCTION
!
Resources: To write this paper we use books and websites has addressed in below.
✓ A. Villa; Analisi di sistemi di produzione industriale; CLUT, Torino
✓ A. Villa, De Toni, Palazzolo; Gestione della produzione, Isedi, 2013
✓ DHL web site
✓ Trasporto merci su strada, è una pubblicazione a cura di: ANFIA - Associazione Nazionale
Filiera Industria Automobilistica – Area Studi e Statistiche Automobile Club d’Italia – Area
Professionale Statistica
✓ Ministero delle Infrastrutture e dei Trasporti, DIPARTIMENTO PER I TRASPORTI, LA
NAVIGAZIONE ED I SISTEMI INFORMATIVI E STATISTICI, DIREZIONE
GENERALE PER I SISTEMI INFORMATIVI, STATISTICI E LA
COMUNICAZIONE; UFFICIO DI STATISTICA, SISTEMA STATISTICO
NAZIONALE; Conto Nazionale delle Infrastrutture e dei Trasporti
!
✓ Analisi e previsioni per il trasporto merci in Italia, © Confcommercio-Imprese per l’Italia
✓ Logistics and supply chain management: creating value-adding networks / Martin
Christopher. -- 4th ed. PEARSON EDUCATION LIMITED
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!13TRANSPORT&PRODUCTION

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Problem Tree and Truck Transportation

  • 1. Prof. Agostino Villa, Politecnico di Torino Student: Sajjad Khaksari April 23, 2015 ! ! ! Production System Analysis & Italian Transport Companies
 ! A briefly endeavor to modeling ! ! ! Is it possible to use the method we use to analyze the production system for analyzing a transport company? My brief endeavor and research to modeling a transport company has started by asking this question. The question was that is it possible to assume a delivery good as a PF (final Product)? In addition to find out the Elementary Operations, Components, Resources, Production Functions, Agents, Information patterns and Organizational Chart! Moreover the basic informations about the Transport Company services are from De Poli Autotransporti srl. ! So to find out which kind of information we need, lets start with explaining the main factors, those could build a Product Tree. Then we try to give them mathematic term: ! ❖ Components ❖ Elementary Operations ❖ Resources ❖ Production Functions ❖ Agents ❖ Information patterns ❖ Organizational Chart ! ! ! ! !1TRANSPORT&PRODUCTION
  • 2. ! ! Adopting and assuming some essential contraction We assume that FP is satisfactory of client by delivering good Pi to Ij . Furthermore i = 1, … , n ; they are different products (goods) from the same client (producer). For example in this case, we assume that OV (officina Vica) who is one of the most important supplier for Iveco and other vehicle producer, give Pi to dp (De Poli autotrasporti) and requests a Transport service. ! So I that is Iveco in this case, works as a one of the most important client for OV. In addition OV is supplier for Iveco. So we can assume it as Sn = suppliers; n = 1, … , n. Also in this case OV is one of the Iveco’s suppliers. Time by time Iveco asks OV to support her by raw materials or pieces, those are necessary for JIT production line plants in Lungo Stura Lazio. However Iveco has not just one Delivery Point so we call them j = 1, … , n ; they are different point of delivery. !2TRANSPORT&PRODUCTION Satellite map of Ivevo in Lungo Stura Lazio. We see that Iveco as an individual who wait to receive her goods from supplier (and her transport&logistic agents) has different Delivery Point all in the same plant.
 So to manage and work in performance&efficiency mode, its important to know where is the right place to Unloading?
  • 3. ! ! !3TRANSPORT&PRODUCTION OV IVECO dp Another important choose the logistic manager should do is Rout Deciding. In non-organized and traditional companies this critical decision has leaved in the hands of drivers, based on their own personal experience.
 
 This nonsystematic and non-digital Decision Making transport activity sometimes creates expensive problems.
 ! In contrary, imagine that one modern and organized transport&logistic company, that is familiar to use modern navigating systems. This electronic/informatics devices are connected and updated. In addition imagine one business day an accident happens in highway! So what will happened to nonsystematic guy?!! Yes, you got the point and you can imagine the tragedy could happened!!! Another important choose the logistic manager should do is rout deciding. Nonsystematic and non-digital Decision Making sometimes create costly problems.
  • 4. The table of Production functions Here we assume some principal activities, they are happing normally during a transporting and logistics. For sure in reality the type of these functions will be depend to feature of goods and other practical index of the products and facilities. 
 ! ! ! ! ! The table of Resources In the case of Resources, please mention that for having a simple imagination of dp transport system we assume to put just one kind of Forklift or Van or etc in the table of the Resources. ! ! ! ! It doesn't mean that in reality for Loading or Unloading operations, we need just one type of Forklift! Because depending to the weight, size, features and etc. of goods the necessity to utilize a specific kind of Forklift will be change! ! The same situation is exist about Vans, Trucks, Trailers and lorries. For example in dp, there is some trailers you can NOT attach them to different type of trucks! So that means more limitation for logistic organization plus additional attention to choose the right vehicle, right trailer and right driver to serve the specific service, requested by specific customer! R1 R2 R3 R4 R5 !4TRANSPORT&PRODUCTION N Production Functions 1 Loading 2 Unloading 3 Entering to the plant 4 Exiting from the plant 5 Driving 6 Tack/release Documents 7 Preparing Vehicle 8 Control 9 PAC
  • 5. ! ! ! These are just some of the various example represent the importance of choosing the the right vehicle, right trailer and right driver to serve the specific service, requested by specific customer! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !5TRANSPORT&PRODUCTION Specific Trailer, that needs specific Truck Here (metal tubes) special goods, they needs specific fixing system and special crane Cheeses, Foods, farms and ATM goods need specific Trailer (Frigo) In this case the clint is NOT satisfied because for fixing these huge bobbin the trailer floor should be wood rather than iron! Resources Tasks R1 Forklift R2 Van R3 Truck R4 Trailer R5 Trailer Trainer
  • 6. The table of Agents The personal experiences of author belong working in two Italian families transport companies, as a normal driver not as a luxe managers (those never put himself in practical/rude reality of difficult job situation), illustrate that in the companies those are managed by family, CAP is la mamma!
 !So they manage every things on base of their personal (non academic) experiences! They believe, the main problem they have is Italian economy crisis not any thing else! They just trust to other member of family (as a her sons, or husband or son or daughter of her sisters/brothers etc.) not any one else. That means, even the STAFF is a member of family (normally the Son). !Others are just workers and they have to follow the STAFF and mamma CAP even if they are working in some Decision Maker agent. That means even if you graduated in SCM or if you have more academic information about logistics and transport, you haven’t space to realize them. Furthermore these kind of companies are not familiar with modern Accounting systems, Customer Relationship Manager systems, SCM systems etc. (see Exhibit A) !But in Italy, family company has an advantage! They work hard for company, because they feel all things they have is that. So we can say they aren't generous with others but kind with there Company and they never steel of there personal job! ! ! Standard Transport Time Another important factor to analyze the Time. Time to reach the customer, time to loading, necessary time to drive the distance between the customer and delivery point. Moreover when we talk about heavy transport systems, we can not forgot the Maximum Time of Services any driver has permission to do during the day and totally during the week.[the informations in the followed chart are based on attached excel file analyzing one working day of dp (Exhibit B)] Agents Assigned production Functions Type Responsibility on Subordinated to DM1 Loading&Unloading LO Storhouse STAFF DM2 Driving (Drivers) LO Transport STAFF DM3 Logistics Sub-Control LO Logistic Activities STAFF DM4 Logistics Control STAFF Activity of System CAP DM5 Company (Transport) Activity Control CAP System —— !6TRANSPORT&PRODUCTION
  • 7. The resolute are incredibly interesting. Because in practical transport world, the public opinion is totally contrary. The companies, those work yet in the traditional transport working, believe that who waste time is truck driver! ! but the statical result in this case illustrate, just 24 % of a driver work time delicate to driving. All other 76% are wasted for repeatedly waiting! In addition driver is obligated to do other operations. These operations are normally Loading, Unloading, Tacking or releasing necessary transport documents etc. ! ! ! ! ! ! !7TRANSPORT&PRODUCTION 4% 10% 22% 23% 11% 24% 6% Reach Customer Driving Wait for Loading Wait for Unloading L + tack doc. UL + tack doc. etc.
  • 8. Rout Analyzing One of the strategical advantage for transport companies is the method that company use to find a best rout (way) in fastest time! Its difference with finding the fastest way! Anyway this element could effect seriously on the total time of the delivery. ! Specially in express couriers, this point is the Achilles Heel. The below diagram illustrate the importance of being connected, updated, informed and integrated. ! !8TRANSPORT&PRODUCTION Updated and organized transport&logistic companies, those are familiar to benefit form modern navigating systems (Real-time Optimization System), have a Core Transport Network and an efficient work sequence cycles, that is founded on an electronic/informatics devices. (See exhibit C)
  • 9. Problem Tree We you the Problem Tree as a fundamental imagination of what is happening in the production line to produce the Final Product. So after all these introduction about transport operation, we come back again to the first question we have discussed before. Is it possible to use the method we use to analyze the production system for analyzing a transport company? ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !9TRANSPORT&PRODUCTION PF2 = Final unloading of goods PF3 = Entering to the plant Doc. = Transport’s Documents has taken L = Goods has Loaded FP = Satisfactory of client by delivering his goods Pi to Ij GE = Goods has entered to Delivery Point GA = Goods (vehicle) has arrived to the plant PF5 = Driving GA = Goods (vehicle) has exited from the plant PF4 = exiting from the plant PF6 = Documents has taken PF1 = Loading operation VA = Vehicle has arrived to the plant VE = Vehicle has entered to client’s plant PF3 = Entering to the plant VX = Vehicle has exited from the plant PF5 = Driving VR = Vehicle is ready to start working PF4 = exiting from the plant NV = Non prepared vehicle for work PF7 = Vehicle preparing
  • 10. Exhibit A: mamma CAP companies normally are not familiar with modern Accounting systems, Customer Relationship Manager systems, SCM systems etc. !10TRANSPORT&PRODUCTION In traditional transport companies, they waste a lot of times for doing accounting payable, receiving and paper writing the requests for transport services, organizing etc. Modern and organized transport&logistic companies, those are familiar with modern Accounting, managing and navigating systems, work efficiently and comfort.
  • 11. Exhibit B: Illustrate a statistic analysis based on calculating time to reach the customers, time to loading, necessary time to drive the distance between the customer and delivery point etc. ! ! ! ! !11TRANSPORT&PRODUCTION
  • 12. Exhibit C: Some more information and statistics with global view about Italian and European transport&logistics systems and companies. !12TRANSPORT&PRODUCTION
  • 13. ! Resources: To write this paper we use books and websites has addressed in below. ✓ A. Villa; Analisi di sistemi di produzione industriale; CLUT, Torino ✓ A. Villa, De Toni, Palazzolo; Gestione della produzione, Isedi, 2013 ✓ DHL web site ✓ Trasporto merci su strada, è una pubblicazione a cura di: ANFIA - Associazione Nazionale Filiera Industria Automobilistica – Area Studi e Statistiche Automobile Club d’Italia – Area Professionale Statistica ✓ Ministero delle Infrastrutture e dei Trasporti, DIPARTIMENTO PER I TRASPORTI, LA NAVIGAZIONE ED I SISTEMI INFORMATIVI E STATISTICI, DIREZIONE GENERALE PER I SISTEMI INFORMATIVI, STATISTICI E LA COMUNICAZIONE; UFFICIO DI STATISTICA, SISTEMA STATISTICO NAZIONALE; Conto Nazionale delle Infrastrutture e dei Trasporti ! ✓ Analisi e previsioni per il trasporto merci in Italia, © Confcommercio-Imprese per l’Italia ✓ Logistics and supply chain management: creating value-adding networks / Martin Christopher. -- 4th ed. PEARSON EDUCATION LIMITED ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! ! !13TRANSPORT&PRODUCTION