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Maritime inventory routing with multiple products: A case study from the cement industry

Author

Listed:
  • Christiansen, Marielle
  • Fagerholt, Kjetil
  • Flatberg, Truls
  • Haugen, Øyvind
  • Kloster, Oddvar
  • Lund, Erik H.

Abstract

This paper considers a maritime inventory routing problem faced by a major cement producer. A heterogeneous fleet of bulk ships transport multiple non-mixable cement products from producing factories to regional silo stations along the coast of Norway. Inventory constraints are present both at the factories and the silos, and there are upper and lower limits for all inventories. The ship fleet capacity is limited, and in peak periods the demand for cement products at the silos exceeds the fleet capacity. In addition, constraints regarding the capacity of the ships' cargo holds, the depth of the ports and the fact that different cement products cannot be mixed must be taken into consideration. A construction heuristic embedded in a genetic algorithmic framework is developed. The approach adopted is used to solve real instances of the problem within reasonable solution time and with good quality solutions.

Suggested Citation

  • Christiansen, Marielle & Fagerholt, Kjetil & Flatberg, Truls & Haugen, Øyvind & Kloster, Oddvar & Lund, Erik H., 2011. "Maritime inventory routing with multiple products: A case study from the cement industry," European Journal of Operational Research, Elsevier, vol. 208(1), pages 86-94, January.
    • Handle: RePEc:eee:ejores:v:208:y:2011:i:1:p:86-94
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    References listed on IDEAS

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    1. Al-Khayyal, Faiz & Hwang, Seung-June, 2007. "Inventory constrained maritime routing and scheduling for multi-commodity liquid bulk, Part I: Applications and model," European Journal of Operational Research, Elsevier, vol. 176(1), pages 106-130, January.
    2. Marielle Christiansen & Kjetil Fagerholt & David Ronen, 2004. "Ship Routing and Scheduling: Status and Perspectives," Transportation Science, INFORMS, vol. 38(1), pages 1-18, February.
    3. D Ronen, 2002. "Marine inventory routing: shipments planning," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 53(1), pages 108-114, January.
    4. Persson, Jan A. & Gothe-Lundgren, Maud, 2005. "Shipment planning at oil refineries using column generation and valid inequalities," European Journal of Operational Research, Elsevier, vol. 163(3), pages 631-652, June.
    5. Ronen, David, 1993. "Ship scheduling: The last decade," European Journal of Operational Research, Elsevier, vol. 71(3), pages 325-333, December.
    6. Marielle Christiansen, 1999. "Decomposition of a Combined Inventory and Time Constrained Ship Routing Problem," Transportation Science, INFORMS, vol. 33(1), pages 3-16, February.
    7. Ronen, David, 1983. "Cargo ships routing and scheduling: Survey of models and problems," European Journal of Operational Research, Elsevier, vol. 12(2), pages 119-126, February.
    8. Stéphane Dauzère-Pérès & Atle Nordli & Asmund Olstad & Kjetil Haugen & Ulrich Koester & Myrstad Per Olav & Geir Teistklub & Alf Reistad, 2007. "Omya Hustadmarmor Optimizes Its Supply Chain for Delivering Calcium Carbonate Slurry to European Paper Manufacturers," Interfaces, INFORMS, vol. 37(1), pages 39-51, February.
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