The two-echelon production routing problem with cross-docking satellites

Yuzhuo Qiu, Dan Zhou, Yanan Du, Jie Liu, Panos M. Pardalos and Jun Qiao

Transportation Research Part E: Logistics and Transportation Review, 2021, vol. 147, issue C

Abstract: This paper introduces a mixed integer programming model for the two-echelon production routing problem with cross-docking satellites. This problem is important in e-commerce, home delivery services, and city logistics. To solve this problem, we propose a branch-and-cut algorithm with proved valid inequalities and a matheuristic that can provide feasible initial solutions. Extensive computational results are reported, which are obtained on instances derived from benchmarks for the production routing problems and two echelon vehicle routing problems. Management insights on dynamic balance among handling costs, inventory costs, and routing costs are also drawn from the sensitivity analysis.

Keywords: Vehicle routing; Production planning; Two-echelon networks; Material handling (search for similar items in EconPapers)
Date: 2021
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Citations: View citations in EconPapers (4)

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DOI: 10.1016/j.tre.2020.102210

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