Using containers as astorage facilities in humanitarian logistics

In humanitarian logistics, relief supplies are pre-positioned in strategic locations near disaster-prone areas. The beneficiaries are supplied from pre-positioned inventory during the initial days after the disaster; therefore, having those supplies ready to dispatch is of critical importance in disaster response. Previous studies focused on operating a permanent warehouse building for storage of relief supplies. The main objective of this thesis is to investigate how containers (e.g., 20 or 40 feet freight containers) could be used as storage facilities. Using containers as storage facilities is an appealing idea because of the ad-hoc nature of the disaster relief network. They can be shipped from unaffected locations to the disaster locations after the disaster strike. Containers can be stacked on top of each other occupying less land than warehouse buildings. Moreover, the containers that are used to store relief supplies can be used as accommodation places in the immediate aftermath of a disaster strike. In order to investigate the practicality of this idea in Turkey, a mathematical model is developed to determine the location and quantity of containers as well as the type and amount of relief supplies to store. The model is tested using earthquake risk data, estimates of population under risk, and distances between cities. To investigate how and at what cost freight containers could be used as an inventory holding mechanism instead of a transportation unit, the layout and cost comparison of two alternatives; (1) stocking in a warehouse or (2) storage in containers, are performed. Leasing and purchasing option costs of these alternatives are compared using present worth (PW) analysis. The results reveal that leasing option is not cost advantageous in the long run for both warehouse storage and container stockpiling area. Warehouse construction results with the least cost but it requires more area than a container stockpiling area and incurs more operating costs including lighting, ventilation, and maintenance as well as handling of the pallets. On the basis of the results of this research, it can be concluded that using containers for storage is cheaper than operating a warehouse building. The results of our thesis illustrate how to best use containers as storage facilities to achieve the most possible response-time benefit and also support the implementation of an ad-hoc pre-positioning strategy. The thesis is carried in conjunction with Turkish Prime Ministry Disaster and Emergency Management Presidency (AFAD) and the results of this thesis will help AFAD reach beneficiaries of a disaster in shorter time, with fewer disruptions, and in an efficient way.