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A branch-and-price algorithm for the vehicle routing problem with roaming delivery locations

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  • Ozbaygin, Gizem
  • Ekin Karasan, Oya
  • Savelsbergh, Martin
  • Yaman, Hande

Abstract

We study the vehicle routing problem with roaming delivery locations in which the goal is to find a least-cost set of delivery routes for a fleet of capacitated vehicles and in which a customer order has to be delivered to the trunk of the customer’s car during the time that the car is parked at one of the locations in the (known) customer’s travel itinerary. We formulate the problem as a set-covering problem and develop a branch-and-price algorithm for its solution. The algorithm can also be used for solving a more general variant in which a hybrid delivery strategy is considered that allows a delivery to either a customer’s home or to the trunk of the customer’s car. We evaluate the effectiveness of the many algorithmic features incorporated in the algorithm in an extensive computational study and analyze the benefits of these innovative delivery strategies. The computational results show that employing the hybrid delivery strategy results in average cost savings of nearly 20% for the instances in our test set.

Suggested Citation

  • Ozbaygin, Gizem & Ekin Karasan, Oya & Savelsbergh, Martin & Yaman, Hande, 2017. "A branch-and-price algorithm for the vehicle routing problem with roaming delivery locations," Transportation Research Part B: Methodological, Elsevier, vol. 100(C), pages 115-137.
    • Handle: RePEc:eee:transb:v:100:y:2017:i:c:p:115-137
    DOI: 10.1016/j.trb.2017.02.003
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    7. Christian Tilk & Katharina Olkis & Stefan Irnich, 2021. "The last-mile vehicle routing problem with delivery options," OR Spectrum: Quantitative Approaches in Management, Springer;Gesellschaft für Operations Research e.V., vol. 43(4), pages 877-904, December.
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    14. Neda Tanoumand & Tonguç Ünlüyurt, 2021. "An exact algorithm for the resource constrained home health care vehicle routing problem," Annals of Operations Research, Springer, vol. 304(1), pages 397-425, September.
    15. Zu-Jun Ma & Fei Yang & Ying Dai & Zuo-Jun Max Shen, 2021. "The Migratory Beekeeping Routing Problem: Model and an Exact Algorithm," INFORMS Journal on Computing, INFORMS, vol. 33(1), pages 319-335, January.
    16. Frey, Christian M.M. & Jungwirth, Alexander & Frey, Markus & Kolisch, Rainer, 2023. "The vehicle routing problem with time windows and flexible delivery locations," European Journal of Operational Research, Elsevier, vol. 308(3), pages 1142-1159.
    17. Seung Yoon Ko & Ratna Permata Sari & Muzaffar Makhmudov & Chang Seong Ko, 2020. "Collaboration Model for Service Clustering in Last-Mile Delivery," Sustainability, MDPI, vol. 12(14), pages 1-18, July.
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    21. Ozbaygin, Gizem & Savelsbergh, Martin, 2019. "An iterative re-optimization framework for the dynamic vehicle routing problem with roaming delivery locations," Transportation Research Part B: Methodological, Elsevier, vol. 128(C), pages 207-235.
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