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Many-to-many location-routing with inter-hub transport and multi-commodity pickup-and-delivery

Julia Rieck, Carsten Ehrenberg and Jürgen Zimmermann

European Journal of Operational Research, 2014, vol. 236, issue 3, 863-878

Abstract: In this paper, we consider a variant of the many-to-many location-routing problem, where hub facilities have to be located and customers with either pickup or delivery demands have to be combined in vehicle routes. In addition, several commodities and inter-hub transport processes are taken into account. A practical application of the problem can be found in the timber-trade industry, where companies provide their services using hub-and-spoke networks. We present a mixed-integer linear model for the problem and use CPLEX 12.4 to solve small-scale instances. Furthermore, a multi-start procedure based on a fix-and-optimize scheme and a genetic algorithm are introduced that efficiently construct promising solutions for medium- and large-scale instances. A computational performance analysis shows that the presented methods are suitable for practical application.

Keywords: Location-routing; Inter-hub transport; Multi-commodity pickup-and-delivery; Mixed-integer linear programming; Fix-and-optimize; Genetic algorithm (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (29)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:236:y:2014:i:3:p:863-878

DOI: 10.1016/j.ejor.2013.12.021

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European Journal of Operational Research is currently edited by Roman Slowinski, Jesus Artalejo, Jean-Charles. Billaut, Robert Dyson and Lorenzo Peccati

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