Failure-specific cooperative recourse strategy for simultaneous pickup and delivery problem with stochastic demands

Lin Zhu and Jiuh-Biing Sheu

European Journal of Operational Research, 2018, vol. 271, issue 3, 896-912

Abstract: This paper concerns the generation of a priori routes for a fleet of vehicles that pick up and deliver items with stochastic demands. A failure-specific cooperative recourse strategy is proposed to explore a risk pooling mechanism for routing in the context of simultaneous pickup and delivery with stochastic demands. By defining complete failure and semi-failure of routing, the travelling cost under our failure-specific cooperative strategy is estimated. Also, an adaptive large neighbourhood search algorithm is developed. Compared with a strategy that involves no cooperation between vehicles, our strategy performs better in terms of reducing travelling costs, and balancing fleet size and detour frequency.

Keywords: Logistics; Stochastic vehicle routing; Pickup and delivery; A priori route optimisation; Adaptive large neighbourhood search (search for similar items in EconPapers)
Date: 2018
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Citations: View citations in EconPapers (4)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ejores:v:271:y:2018:i:3:p:896-912

DOI: 10.1016/j.ejor.2018.05.049

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