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Transportation Research Procedia 55 (2021) 503–509

14th International scientific conference on sustainable, modern and safe transport

14th International scientific conference on sustainable, modern and safe transport
Methodology of design and optimization of internal logistics in the
Methodology of design and optimization of internal logistics in the
concept of Industry 4.0
concept of Industry 4.0
Ivan Antoniukaa*, Radovan Svitekaa, Martin Krajčovičaa, Beata Furmannováaa
Ivan Antoniuk *, Radovan Svitek , Martin Krajčovič , Beata Furmannová
a
University of Zilina, Faculty of Mechanical Engineering, Department of Industrial Engineering, Univerzitna 8215/1, 010 26 Zilina, Slovakia
a
University of Zilina, Faculty of Mechanical Engineering, Department of Industrial Engineering, Univerzitna 8215/1, 010 26 Zilina, Slovakia

Abstract
Abstract
The current development of logistics says that only the fastest, cheapest, and most efficient in terms of productivity wins. The role
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With phase to
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to reactaquickly
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Through tools, it is possible
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planning in a itdigital
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to ensure an exact
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any change. Through
articleparametric
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any change. The article is devoted to the
methodology
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Published by ELSEVIER of internal
B.V. transportation using Industry 4.0 tools.
© 2021
© 2021 TheThe Authors.
Authors. Published
Published by by ELSEVIER
ELSEVIER B.V. B.V.
This is an open access article under the CC BY-NC-ND
This is an open access article under the CC BY-NC-ND license license (https://creativecommons.org/licenses/by-nc-nd/4.0)
(https://creativecommons.org/licenses/by-nc-nd/4.0)
This is an open access
Peer-review article under the the CC BY-NC-ND license (https://creativecommons.org/licenses/by-nc-nd/4.0)
Peer-review under under responsibility
responsibilityof of thescientific
scientificcommittee
committeeofofthe theTRANSCOM
TRANSCOM2021: 2021:14th
14thInternational
International scientific conference
scientific conference
Peer-review
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on sustainable,
sustainable, under responsibility
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andsafe of the scientific committee of the TRANSCOM 2021: 14th International scientific conference
safetransport
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on sustainable,
Keywords: modern
internal and safeparametric
transportation; transportmodel; logistics system.
Keywords: internal transportation; parametric model; logistics system.

1. Introduction
1. Introduction
Internal transport is one of the most important elements in a manufacturing company. Often the cost of logistics is
up Internal
to 20% oftransport
the totalis costs.
one ofThe
the aim
mostofimportant elements inisato
today’s enterprises manufacturing company.
produce a different typeOften
of thethe cost of that
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ensure
up to profitability,
their 20% of the total
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(2014). aim of today’s enterprises
designing is to produce
and optimizing a different
logistics typeisofa the
processes highproducts
priority.that
It isensure
even
theironly
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about logistics (2014).
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also aboutdesigning
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dependence oflogistics processes
production processesis aon
high priority.
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not only about
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the advent costs
of abut
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is a needoftoproduction
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improve all onprocesses
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to make the
transport. competitive.
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By applying era of technology,
handlingthere is a need
vehicles, to constantly
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to achieve all processes
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materials, their evidence, By applying automatedreduction
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in logistics possible to achieve
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collection andweighing
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materials,totheir
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possible changes andin aproduction
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reduction in logistics
unexpected situationscosts.
play Real-time
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The article dedicated
response to possible changes in production and unexpected situations play an important role. The article is dedicated

* Corresponding author. Tel.: 421-41-513-2713; fax: +0-000-000-0000 .

* Corresponding
E-mail address:author. Tel.: 421-41-513-2713; fax: +0-000-000-0000 .
Ivan.Antoniuk@fstroj.uniza.sk
E-mail address: Ivan.Antoniuk@fstroj.uniza.sk
2352-1465 © 2021 The Authors. Published by ELSEVIER B.V.
2352-1465
This © 2021
is an open accessThe Authors.
article underPublished by ELSEVIER
the CC BY-NC-ND B.V.
license (https://creativecommons.org/licenses/by-nc-nd/4.0)
This is an open
Peer-review access
under article under
responsibility of the scientific
CC BY-NC-ND license
committee (https://creativecommons.org/licenses/by-nc-nd/4.0)
of the TRANSCOM 2021: 14th International scientific conference on sustainable,
Peer-review
modern undertransport
and safe responsibility of the scientific committee of the TRANSCOM 2021: 14th International scientific conference on sustainable,
modern and safe transport
2352-1465 © 2021 The Authors. Published by ELSEVIER B.V.
This is an open access article under the CC BY-NC-ND license (https://creativecommons.org/licenses/by-nc-nd/4.0)
Peer-review under responsibility of the scientific committee of the TRANSCOM 2021: 14th International scientific conference on
sustainable, modern and safe transport
10.1016/j.trpro.2021.07.093
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2 Ivan Antoniuk, Radovan Svitek Martin Krajcovic, Beata Furmannova,/Transportation Research Procedia 00 (2021) 000–000

to a new tool for the digital enterprise, which offers new methods for planning, data collection and real-time process
management.

2. Logistics in the concept Industry 4.0

Logistics is understood as an important process in the company, which runs through the entire plant, and has the
function of management, control, modification and integration of tangible material flows and intangible information,
as well as related processes such as transport, storage, material handling and packaging itself. Logistics must be seen
as a closed chain - planning, implementation, control and subsequent feedback.
Modern factories are adding new, intelligent technologies to create interconnected, interoperable workflows. This
makes supply chains smarter, more networked, and more technologically advanced. Although the so-called the fourth
industrial revolution is receiving the most attention, and another logistics revolution is taking place in the company at
the same time. In the trend of industry 4.0, some sources also mention this new logistics paradigm, also called logistics
4.0., Hoeve (2018)
In recent years, the field of logistics has changed significantly due to a high number of technological innovations.
Cyber-physical systems have been introduced in the manufacturing process as an integrating concept to improve the
two-way flow of information between executive and decision-making systems. These systems must also be considered
in logistics. Technological progress and innovations in logistics lead to systems with increased computing and
communication capabilities, whereby all elements of the system will communicate with each other in order to
exchange the necessary information, Ingo (2015)
For efficient logistics 4.0, it is necessary to rely on these technological applications:

• resource planning
• storage systems
• traffic management systems
• intelligent transport systems
• information security

Resource planning – the process of managing and planning resources according to the paradigm of industry 4.0
and the implementation of CPS (Cyber-Physical systems) will increase overall productivity, flexibility and agility
against changes that may occur in supply chains. Proper alignment and integration between the different elements of
the supply chain and an increased level of transparency will ensure adequate forecasting of resources that allow
process optimization. (McKinsey, 2015)
Storage systems – warehouses are one of the key elements in the supply chain. In the current situation, however,
they must also serve as a source of competitive advantage for logistics providers. The adoption of the Industry 4.0
paradigm brings remarkable changes in the way the warehouse operates. In particular, the introduction of intelligent
management and implementation of WMS - Warehouse management system, which transforms warehousing activities
into the future requirements of incoming logistics. For example, carriers will be able to communicate their position
and estimated time of arrival to an intelligent warehouse management system that will be able to select and prepare a
warehouse position. At the same time, RFID sensors identify what has been delivered and pass this information on to
the value chain. WMS automatically allocates storage according to specifications and requests the appropriate
equipment to move the goods to the correct location. When the pallets are moved to the specified position, the sensors
transmit a WMS signal to monitor inventory levels in real time, improving management decision-making and deciding
on any adjustments that may be needed to increase customer service levels, Schrauf, (2017).
Traffic management system – is part of the SCM supply chain management focused on transport logistics. It
enables interaction between the order management system and the distribution center. With the massive use of Internet
of Things (IoT) and the necessary path to industry 4.0, the traffic management system is an essential element of the
logistics concept. The IoT and the traffic management system takes an increasingly important role in the logistics
system. As more and more physical objects are equipped with barcodes, RFID scanners and sensors, transport and
logistics companies can track the movement of objects in real time from the point of origin to the destination
throughout the supply chain, including production and distribution. The use of the Internet of Things is also
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transforming transport systems. As vehicles have increasing capabilities for sensing, networking, communication, and
data processing, IoT technologies can be used to share unused resources between vehicles. A well-defined and
configured traffic management system that works with IoT is a key point for increasing the decision-making quality
of management 4.0, Cunnane (2017).
Intelligent Traffic System – represents a new area that cooperates in various areas of transport systems, such as
traffic management, control, infrastructure, operation, and control methods. Intelligent transport systems are adopting
new technologies such as computing hardware, positioning systems, sensor technologies, telecommunications, data
processing, virtual operations, and planning techniques. The idea of integrating virtual technologies is a novelty in the
field of transport and plays an important role in overcoming the challenges posed by globalization. ITS are important
for increasing safety and reliability, driving speed, accident rates, traffic flow, etc. Systems using real-time data will
increase the decision-making quality of management and become more flexible and efficient, Atzori (2010).
Information security - he proliferation of cloud-based Internet applications, the Internet of Things, big data, the
use of your own devices - Bring Your Own Device have changed the way organizations do business. Organizations
are very interested in finding new technology initiatives with low operating costs in order to offer innovative services
and thus gain a competitive advantage, Qin (2013). Monitoring and early detection of potential risks play an important
role. In this context, organizations should implement, monitor, and evaluate the most effective set of controls, provide
an adequate level of security, and ensure their continuity. The security requirement should be clearly defined in the
security policy, Bishop (2004).

3. Automated Guided Vehicles

The AGV system (Fig.1) is an unmanaged automatic logistics supply system. It is not only the transfer of material
from point A to point B according to a predefined path, but a complex system, consisting of tractors, transfer stations
or dynamic conveyors, which can deliver the material exactly on time, automatically unload it at a designated location.
The software can process production data, respond to them, and make independent decisions. It is a solution for
automatic internal logistics that can be used effectively in any industry. Such systems significantly increase
productivity and automation in production, increase supply accuracy and reduce costs.
Automated logistics is an important element of logistics 4.0. Combined with monitoring systems and computer
simulation and emulation, they form a very reliable system capable of responding quickly to any change.

Fig. 1 Automated logistics system AGV

4. Procedure of designing logistics systems

This chapter describes the our own algorithm of designing automated logistics systems using static calculations
and dynamic simulation for verification and optimization of proposed solutions.
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4.1. Analysis of the initial state

In this phase, it is necessary to focus on the company's goals and the current state of the logistics and production
system. It is necessary to understand all the processes, collect the data needed for the implementation of the project,
verify them, and process them into a structured PFEP – Plan for Every Part database or other suitable form. These are,
for example, data on products (their basic characteristics, parameter, properties), process data (such as processing
times, number of workers, etc.), logistic data (available resources, material flows, supply intervals, information flow).
For the implementation of AGV transport, for example, the existence of a flat cast floor as well as a stable WI-FI
connection is important.

4.2. Classification of transported goods

To select the material to be transported by the AGV tractor, it is necessary to classify the input materials into three
groups according to their consumption or frequency supply (Fig.2). Thus, items belonging to group A are suitable for
the application of automated transport - the imported package will be consumed within the production batch/shift.
Items from group B have lower consumption, the whole package will not be processed in one batch - the remaining
material will be stored on the rack of work in progress. Group C represents material that is not palletized and is not
suitable for automatic transport (small loose parts such as washers and circlips).

Fig. 2 ABC material classification

4.3. Selection of a suitable type of AGV and peripherals

Based on the characteristics of the transported material, namely: its weight and type of packaging, it is necessary
to choose suitable vehicles for transport and handling so that the supply process is as simple and efficient as possible.
For palletized material, it is better to choose the towing version of the AGV, which consists of the AGV tractor
itself and towed C-Rams which extend the pneumatic device for automatic pallet loading and unloading. Thus, 1 AGV
can pull up to 4 pallets of material in a row and supply more places per circuit. In some cases, it is more appropriate
to use an automatic forklift. There is also the possibility of undercarriage AGVs, which have a lower weight but
require less handling space and more flexibility.
Navigation is ensured by means of a magnetic tape, according to which the tractor moves and commands such as
acceleration or deceleration, unloading or loading, etc. are performed by scanning RFID tags in which the necessary
information is stored. There are also options for navigation by GPS signal or using a dynamic scanner.
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4.4. The design of the logistics circuits

The design of logistics circuits consists in determining the direction of travel of logistics means. In the case of
AGV tractors, the unloading of the material is only possible on one side, so it is necessary to industrialize the logistics
circuits in advance to allow the handling of the material. It is appropriate to process a checkerboard table of traffic
relations, which serves to clarify the display of material flows and is needed to support static capacity calculations of
equipment utilization and also serves as a basis for creating a simulation model.

4.5. Static evaluation of logistics system

When designing a production layout with an emphasis on ensuring the requirements, there are several methods and
software solutions, the so-called digital enterprise tools. Most methods offer only static optimization, which is less
demanding than dynamic simulation and mostly with sufficiently satisfactory outputs. These outputs enable the
designer to design methodically structured planning during the design for timely detection of all risks that have arisen
as consequence of inappropriate design of the production layout, layout of workplaces and related material flows. The
early elimination of these risks is due to the possibility of a detailed view of the production system in the early stages
of design without any intervention in real production.
We do the static part of the design in the interactive projection system CEIT Table, but it is possible to use other
suitable software. This system is suitable for all industrial organizations with peace and large series production. In
combination with 3D laser scanning, it is a support tool for 3D design of production and logistics systems. A
prerequisite for the successful use of the CEIT Table is provided by a suitably equipped 3D library of required objects.
With the help of these objects, it is possible to easily create a planned pattern of real production. The 3D environment
allows designers to clearly imagine the proposed production layout and logistics system before implementation. Thus,
the designer can eliminate in advance all the shortcomings and risks that are hidden in the 2D view. The whole model
(Fig.3) is parametric so that all elements can be changed quickly and get an evaluation of a new variant immediately.
Economically attractive solutions is conditional on the higher effect from the optimized layout, Pekarcikova (2014).

Fig. 3 Parametric model of the logistics system in CeitTable

4.6. Verification and optimization by computer simulation

Simulation is more time consuming and expensive than classical analytical methods. The advantage is that it
eliminates the shortcomings of analytical methods. By including heuristic and metaheuristic approaches, it can solve
much more complex problems that cannot be solved using conventional design methods. Thus, a computer simulation
can detect real stocks state (Fig.4, a), lead time of each piece and real utilization (Fig4, b) of logistics equipment and
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machines (Fig4, c). The simulation module enables to simulate the resulting variants for newly created problems
(Bubeník, 2014).

Fig. 4 a) stocks monitoring, b) lead time of each product, c) real utilisation of trucks

The process of creating a simulation model before starting the designing of logistics systems help to uncover and
find the previously unknown facts (such as functional dependencies of the system, technical problems, construction
problems can effect on logistics route). Parametric simulation model creation of a logistics system is particularly
important in terms of using the simulation model by end users (e. g. transport planner). The end-user will be able to
use the simulation model even if he is not with an expert on computer simulation, Bučková (2019)

4.7. Creation of a digital twin for logistics and manufacture

The system for verification of logistics processes deals with the acquisition of information and the transfer of this
information between real logistics equipment and the virtual world, which represents the production and logistics
system. The basic pillar of the virtual part of the system is the digital image of the real system, also called the digital
twin. The digital twin is created by merging a 3D digital model of a system and a virtual system. The digital model
consists of production facilities, machines, and products. By merging individual objects, we obtain a detailed 3D
model of the company, including the bowels of the entire system. The virtual model uses advanced technologies such
as computer simulation, sensor systems, simulation metamodeling and optimization methods based on mathematical
and statistical methods. Thus, we get a virtual system, where we use a simulation software to model the dynamic
course in the company. The structure of the virtual module of the system is shown in Figure 5.

Fig. 5 Concept of digital twin

To create a virtual world of the digital twin, it is necessary to create a simulation model of the logistics system, the
essence of which will be that the investigated real logistics system will be represented by its simulation model.
Experiments can then be performed with this model in order to obtain information identical to the original system
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under investigation. This will ensure verification and validation of the simulation model. Subsequently, optimization
methods can be started using a simulation model, based on real-time data collection.
Automatic real-time data collection works on the principle of recording information after passing through
individual RFID tags placed on the path of the AGV tractor. This information is collected in the AGV internal database
and processed by the AGV Monitor system application. The database contains information on the length of the circuit,
the duration of the individual circuits, the driving time, the charging time, the loading and unloading time, the blocking
time, the waiting time at the junction and the waiting time for the job / charging.

5. Conclusion

Nowadays, logistics represent an important factor in terms of competitiveness and economy for manufacturing
companies as well as commercial enterprises, Fusko (2017). Developing integrated, scalable, and semantic factory
models with multi-level access, data collection with various uncertainties, real-time data capture and capture
capabilities from all enterprise resources (e.g., enterprise assets, machines, workers, and objects) processes, activity
planning and business management, and will facilitate faster growth by shortening delivery times to the market, Gregor
(2018). The methods described in this article are supporting tools for the flexible reaction of the company to customer
requirements and change of the production program, they will ensure the competitiveness and smooth process of
production and logistics.

Acknowledgements

This work was supported by the Slovak Research and Development Agency under the Contract no. APVV-19-0305.

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