Allocating Cost to Freight Carriers in Horizontal Logistic Collaborative Transportation Planning on Leading Company Perspective

Ning Liu and Yaorong Cheng

Mathematical Problems in Engineering, 2020, vol. 2020, 1-10

Abstract:

Interest has been raised by the recent identification of cooperation cost through collaborative planning in horizontal logistics operations. Even though cooperation cost can be realized, one key question exists: how should cooperation cost be divided among a group of collaborating companies. In this article, the question is studied in a centralized framework context. We divide the participants into two groups, leading companies (LC) and nonleading companies (NLC), and propose five fair distribution rules from the perspective of leading companies. According to these distribution principles, we developed an allocation method called Leading-idealism Cost Allocation Model (LiCAM) and compared it with three existing classic allocation mechanisms which violate some of these criteria are discussed. Computational results show that our method has acceptable calculation time, stability, consistency, and monotony. Our model can fully reflect the value as a leading company which is consistent with the actual practice requirements. We also illustrate the value and operability of our model by discussing the number of leading companies and the size of the alliance.

Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
http://downloads.hindawi.com/journals/MPE/2020/4504086.pdf (application/pdf)
http://downloads.hindawi.com/journals/MPE/2020/4504086.xml (text/xml)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hin:jnlmpe:4504086

DOI: 10.1155/2020/4504086

Access Statistics for this article

More articles in Mathematical Problems in Engineering from Hindawi
Bibliographic data for series maintained by Mohamed Abdelhakeem ().