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Logistics network configuration: The solution for quality-related problems in long-distance transportation of mango in Indonesia

Indonesia was ranked 46th out of 160 countries in the Logistic Performance Index 2018, below most ASEAN countries. Indonesia’s dependence on inter-island interconnections causes high container handling costs. Mango is one of Indonesia’s superior fruits. While almost every province in Indonesia produces mango, the major mango producers are mainly in Java Island and Eastern Indonesia. This production distribution leads to the demand to distribute mango from the production centers to other areas, which raises concerns about quality preservation. A well-designed logistics network configuration is imperative for a perishable food supply chain such as mango due to its influence on material flow balance, postharvest losses, costs, and response capacity. This study aims to review the problems of mango transportation in Indonesia and the thriving technology in transportation conditions monitoring and propose a formulation to develop a logistics network configuration. The presented paper discusses a multi-objective problem of customers maximization, postharvest losses rate minimization, and transportation cost minimization. We elaborate on the challenges with implementing multimodal transportation for perishable products, requirement analysis for the stakeholders, and transportation conditions monitoring. Ultimately, we develop a surplus model following the multi-objective problems considering the constraints of the harvest season, production volume, and distance from production centers to buyers’ locations. Field data and secondary information consist of material flow behaviour and market competition. The logistics network configuration models the material flow balance, postharvest losses, costs, and response capacity.