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A Cost Optimization Problem on a 2 Level Transportation Network  

Jung, Jae-Heon (포스코 경영연구소)
Publication Information
Journal of the Korean Operations Research and Management Science Society / v.30, no.3, 2005 , pp. 1-15 More about this Journal
Abstract
In our model, a fleet of vehicles start from docking point to collect loads at the terminals assigned to the point Then the docking points are connected to the hub by primary vehicle routes starting at the hub. This vehicle visit all the docking points to collect the loads which have been collected by the secondary vehicles. Our goal Is to minimize the long-run cost of setting up the docking Points and vehicle operation cost by deciding the location of the docking points and the routes optimally. We propose an heuristic algorithm to solve this and tested it though various experiments.
Keywords
Mathematical Programming; Dynamic Programming; Supply Chain Management; Transportation; Vehicle Routing; Cross-docking Policy;
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