Integrated service network design for a cross-docking supply chain network

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This paper considers an integrated service network design problem for a given set of freight demands that is concerned with integration of locating cross-docking (CD) centers and allocating vehicles for the associated direct (transportation) services from origin node to a CD center or from a CD center to the destination node. For the vehicle allocation, direct services (sub-routes) should be determined for the given freight demands, and then the vehicle allocation has to be made in consideration of routing for the associated direct service fulfillment subject to vehicle capacity and service time restriction. The problem is modeled as a path-based formulation for which a tabu-search-based solution algorithm is proposed. To guarantee the performance of the proposed solution algorithm, strong valid inequalities are derived based on the polyhedral characteristics of the problem domain and air efficient separation heuristic is derived for identifying any violated valid inequalities. Computational experiments are performed to test the performance of the prorosed solution algorithm and also that of a valid-inequality separation algorithm, which finds that the solution algorithm works quite well and the separation algorithm provides strengthened lower bounds. Its immediate application may be made to strategic (integrated) service network designs and to tactical service network planning for the CD network.
Publisher
Palgrave Macmillan Ltd
Issue Date
2003-12
Language
English
Article Type
Article
Keywords

EXPRESS SHIPMENT SERVICE; MOTOR CARRIER INDUSTRY; FREIGHT TRANSPORTATION; PLANNING-MODELS; LOADING PROBLEM; TABU-SEARCH; FORMULATIONS; LOCATION; SYSTEM

Citation

JOURNAL OF THE OPERATIONAL RESEARCH SOCIETY, v.54, no.12, pp.1283 - 1295

ISSN
0160-5682
URI
http://hdl.handle.net/10203/79186
Appears in Collection
IE-Journal Papers(저널논문)
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