Northern Border Pipeline Logistics Simulation

A simulation model in GPSS analyzed whether pipe for the Northern Border Pipeline could be delivered within the planned nine months. This analysis led to a 20-percent reduction in railcars needed for transporting the pipe, saving $4.5 million in railcar hiring costs. The reduced number of railcars were hired and the pipeline was completed on schedule as predicted. The model also led to considerable insight regarding meshing factory operations with train loading, transit, unloading, and welding. It was detailed enough to consider the arrival of pipe from abroad, construction of pipe in domestic factories, train transportation including breakdowns, barge transportation, unloading pipe, inspection and subsequent welding.