Design of the Integrated Logistics Information System Based on Cloud Computing

—This study presents the practical approach for designing the integrated logistic information system (ILIS) in cloud computing environment. It is intended to optimize resources (vehicles, human resources, oil, etc.) required to logistics management. This system is targeted at the small and medium-sized third-party logistics (3PL) companies which are difficult to establish IT system by providing a remote service environment like SaaS (Software as a Service). In this study, the concepts traveling salesman problem (TSP) and Dynamic Programming (DP) are used for route optimization. We intend to contribute to minimize the operational cost of the logistics system by designing remote service. The integrated logistics information system has contributed to reduce logistics cost and to enhance the efficiency of the logistics business, after the adoption of logistics company in the early 2000s. But the significant parts of the system components are relying on expensive logistics solutions. In addition, the logistic companies wish to integrate the load optimization solution with the route optimization solution within a single system. Therefore, the integrated logistics information system (ILIS) is necessary to the logistics company. But most of third-party logistics companies are small and medium-sized scale, so they are hard to establish and operate IT system in the respect to the cost. In this study, we suggest the design of the main components of ILIS in the shape of SaaS in cloud computing environment.