A hybrid heuristic strategy for liquefied natural gas inventory routing

As liquefied natural gas (LNG) steadily grows to be a common mode for commercializing natural gas, LNG supply chain optimization is becoming a key technology for gas companies to maintain competitiveness. This paper develops methods for improving the solutions for a previously stated form of an LNG inventory routing problem (LNG-IRP). Motivated by the poor performance of a Dantzig-Wolfe-based decomposition approach for exact solutions, we develop a suite of advanced heuristic techniques and propose a hybrid heuristic strategy aiming to achieve improved solutions in shorter computational time. The heuristics include two phases: the advanced construction phase is based on a rolling time algorithm and a greedy randomized adaptive search procedure (GRASP); and the solution improvement phase is a series of novel MIP-based neighborhood search techniques. The proposed algorithms are evaluated based on a set of realistic large-scale instances seen in recent literature. Extensive computational results indicate that the hybrid heuristic strategy is able to obtain optimal or near optimal feasible solutions substantially faster than commercial optimization software and also the previously proposed heuristic methods.     

Weather impact on containership routing in closed seas: A chance-constraint optimization approach

Weather conditions have a strong effect on the operation of vessels and unavoidably influence total time at sea and associated transportation costs. The velocity and direction of the wind in particular may considerably affect travel speed of vessels and therefore the reliability of scheduled maritime services. This paper considers weather effects in containership routing; a stochastic model is developed for determining optimal routes for a homogeneous fleet performing pick-ups and deliveries of containers between a hub and several spoke ports, while incorporating travel time uncertainties attributed to the weather. The problem is originally formulated as a chance-constrained variant of the vehicle routing problem with simultaneous pick-ups and deliveries and time constraints and solved using a genetic algorithm. The model is implemented to a network of island ports of the Aegean Sea. Results on the application of algorithm reveal that a small fleet is sufficient enough to serve network’s islands, under the influence of minor delays. A sensitivity analysis based on alternative scenarios in the problem’s parameters, leads to encouraging conclusions with respect to the efficiency and robustness of the algorithm.     

The flying sidekick traveling salesman problem: Optimization of drone-assisted parcel delivery

Once limited to the military domain, unmanned aerial vehicles are now poised to gain widespread adoption in the commercial sector. One such application is to deploy these aircraft, also known as drones, for last-mile delivery in logistics operations. While significant research efforts are underway to improve the technology required to enable delivery by drone, less attention has been focused on the operational challenges associated with leveraging this technology. This paper provides two mathematical programming models aimed at optimal routing and scheduling of unmanned aircraft, and delivery trucks, in this new paradigm of parcel delivery. In particular, a unique variant of the classical vehicle routing problem is introduced, motivated by a scenario in which an unmanned aerial vehicle works in collaboration with a traditional delivery truck to distribute parcels. We present mixed integer linear programming formulations for two delivery-by-drone problems, along with two simple, yet effective, heuristic solution approaches to solve problems of practical size. Solutions to these problems will facilitate the adoption of unmanned aircraft for last-mile delivery. Such a delivery system is expected to provide faster receipt of customer orders at less cost to the distributor and with reduced environmental impacts. A numerical analysis demonstrates the effectiveness of the heuristics and investigates the tradeoffs between using drones with faster flight speeds versus longer endurance.     

Continuous approximation models for mixed load school bus routing

School bus routing is a complex and expensive transportation problem for many public school districts. Typical school bus routes serve a single school, but mixed load school bus routes carry students for more than one school at the same time. A mixed load policy reduces the number of stops and distance to pick up and drop off children, but it can increase travel distance by visiting multiple schools. This paper provides a general strategic analysis using continuous approximation models to assess the conditions under which mixed loading is likely to be beneficial. We also present a case study for a semi-rural Missouri school district to illustrate the application of the models in practice. Results show that mixed load routing is more beneficial for larger districts, when a large percentage of bus stops are shared by students of different schools, and when schools are closer together.     

The split-demand one-commodity pickup-and-delivery travelling salesman problem

This paper introduces a new vehicle routing problem transferring one commodity between customers with a capacitated vehicle that can visit a customer more than once, although a maximum number of visits must be respected. It generalizes the capacitated vehicle routing problem with split demands and some other variants recently addressed in the literature. We model the problem with a single commodity flow formulation and design a branch-and-cut approach to solve it. We make use of Benders Decomposition to project out the flow variables from the formulation. Inequalities to strengthen the linear programming relaxation are also presented and separated within the approach. Extensive computational results illustrate the performance of the approach on benchmark instances from the literature.     

Profit-based maritime container assignment models for liner shipping networks

We propose the problem of profit-based container assignment (P-CA), in which the container shipment demand is dependent on the freight rate, similar to the “elastic demand” in the literature on urban transportation networks. The problem involves determining the optimal freight rates, the number of containers to transport and how to transport the containers in a liner shipping network to maximize the total profit. We first consider a tactical-level P-CA with known demand functions that are estimated based on historical data and formulate it as a nonlinear optimization model. The tactical-level P-CA can be used for evaluating and improving the container liner shipping network. We then address the operational-level P-CA with unknown demand functions, which aims to design a mechanism that adjusts the freight rates to maximize the profit. A theoretically convergent trial-and-error approach, and a practical trial-and-error approach, are developed. A numerical example is reported to illustrate the application of the models and approaches.     

The vehicle platooning problem: Computational complexity and heuristics

We create a mathematical framework for modeling trucks traveling in road networks, and we define a routing problem called the platooning problem. We prove that this problem is NP-hard, even when the graph used to represent the road network is planar. We present integer linear programming formulations for instances of the platooning problem where deadlines are discarded, which we call the unlimited platooning problem. These allow us to calculate fuel-optimal solutions to the platooning problem for large-scale, real-world examples. The problems solved are orders of magnitude larger than problems previously solved exactly in the literature. We present several heuristics and compare their performance with the optimal solutions on the German Autobahn road network. The proposed heuristics find optimal or near-optimal solutions in most of the problem instances considered, especially when a final local search is applied. Assuming a fuel reduction factor of 10% from platooning, we find fuel savings from platooning of 1–2% for as few as 10 trucks in the road network; the percentage of savings increases with the number of trucks. If all trucks start at the same point, savings of up to 9% are obtained for only 200 trucks.     

A differential evolution approach for the vehicle routing problem with backhauls and time windows

This paper presents a differential evolution algorithm (DEA) to solve a vehicle routing problem with backhauls and time windows (VRPBTW) and applied for a catering firm. VRPBTW is an extension of the vehicle routing problem, which includes capacity and time window constraints. In this problem, customers are divided into two subsets: linehaul and backhaul. Each vehicle starts from a depot and goods are delivered from the depot to the linehaul customers. Goods are subsequently brought back to the depot from the backhaul customers. The objective is to minimize the total distance that satisfies all of the constraints. The problem is formulated using mixed integer programming and solved using DEA. Proposed algorithm is tested with several benchmark problems to demonstrate effectiveness and efficiency of the algorithm and results show that our proposed algorithm can find superior solutions for most of the problems in comparison with the best known solutions. Hence, DEA was carried out for catering firm to minimize total transportation costs. Copyright © 2013 John Wiley & Sons, Ltd.     

The fleet size and mix pollution-routing problem

This paper introduces the fleet size and mix pollution-routing problem which extends the pollution-routing problem by considering a heterogeneous vehicle fleet. The main objective is to minimize the sum of vehicle fixed costs and routing cost, where the latter can be defined with respect to the cost of fuel and CO₂ emissions, and driver cost. Solving this problem poses several methodological challenges. To this end, we have developed a powerful metaheuristic which was successfully applied to a large pool of realistic benchmark instances. Several analyses were conducted to shed light on the trade-offs between various performance indicators, including capacity utilization, fuel and emissions and costs pertaining to vehicle acquisition, fuel consumption and drivers. The analyses also quantify the benefits of using a heterogeneous fleet over a homogeneous one.     

The time-dependent pollution-routing problem

The Time-Dependent Pollution-Routing Problem (TDPRP) consists of routing a fleet of vehicles in order to serve a set of customers and determining the speeds on each leg of the routes. The cost function includes emissions and driver costs, taking into account traffic congestion which, at peak periods, significantly restricts vehicle speeds and increases emissions. We describe an integer linear programming formulation of the TDPRP and provide illustrative examples to motivate the problem and give insights about the tradeoffs it involves. We also provide an analytical characterization of the optimal solutions for a single-arc version of the problem, identifying conditions under which it is optimal to wait idly at certain locations in order to avoid congestion and to reduce the cost of emissions. Building on these analytical results we describe a novel departure time and speed optimization algorithm for the cases when the route is fixed. Finally, using benchmark instances, we present results on the computational performance of the proposed formulation and on the speed optimization procedure.