Case Article—Coastal Shipping for Automobile Distribution

Saurabh Chandra () and Amit Kumar Vatsa ()
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Saurabh Chandra: Indian Institute of Management Indore, Indore 453556, India
Amit Kumar Vatsa: Indian Institute of Management Indore, Indore 453556, India

INFORMS Transactions on Education, 2021, vol. 22, issue 1, 28-34

Abstract: With growing concerns related to the environment, sustainable transportation has gained importance. For geographies with an ample coastline, coastal shipping offers a sustainable transportation option to move massive freight quantities. This paper presents a case that allows students to appreciate the role of coastal shipping in multimodal logistics planning. Furthermore, it gives students an opportunity to mathematically model transportation planning at a strategic and tactical level for automotive distribution. The students learn how to assess the financial viability of a mode shift from roadways to coastal shipping. The instructors can use this case for theoretical discussion on multimodal logistics and the application of mixed-integer linear programming (MILP) and heuristics as solution methods. Furthermore, the case presents an opportunity to demonstrate the improvement in solution quality with an MILP solver compared with heuristics.

Keywords: coastal shipping; multimodal transport; shipment routing (search for similar items in EconPapers)
Date: 2021
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