Fig. 1a Case Study

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Fig. 1a describes a traditional centralized inventory system. Two companies produce two different products, and each company owns a plant and a warehouse. Each warehouse supplies distribution centres belonging to the retailers and each Distribution Centre supplies in a region where customer demand is satisfied. For each order of a product the sourcing point is already predetermined. The inventory control decisions are taken when ordering new items and their quantity, while considering factors, such as costs.
Fig. 1b is an inventory model under the PI. The networks are linked via interfaces and the goods are transported and stored through smart containers called PI-containers with sensors that contain all the relevant data like routing information.
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These containers are environmentally sustainable and having conditioning capabilities (e.g., temperature) and are Sealable for security purposes. They are also traceable by use of bar codes and modular. “We’ll talk with the rack and conveyor people to come up with containers that are easy to handle and designed for logistics,” says Montreuil.

Indeed, the objects carried within π-containers are designed specifically to reduce on the load. The dimensions are adapted to standard container dimensions. The main aim is to maximize the volume and functional density while, fitting within the π-containers modular dimensions and extendable to their usage dimensions when necessary. Each physical object has to fit in a π-container as small as possible so as to avoid moving and storing air within the π-containers. Another goal is for physical objects to be designed so that only their key components and modules have to travel extensively through the Physical Internet. For example, Kane is Able takes the inventory and shipping of middle market consumer packaged goods manufacturers so the same amount in volumes is delivered to retailers using fewer
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City logistics proposes new business models to reduce the negative impact of freight transportation and support the social and economic development of the city. The goal is to globally optimize loads of the different shipper and carriers in the same vehicle and the coordination of activities and resources. Legislations aimed to reduce the Co2 emissions are impacting on carrier behaviour. As part of city logistics play a major role in the transportation system. Their restrictions on the number of vehicles going into the city on a given day or time period carriers are then encouraged to work together within these

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