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Routing strategies for integrating forward distribution and reverse collection

Author

Listed:
  • T-S Chang

    (National Dong Hwa University)

  • Y-F Liao

    (National Dong Hwa University)

Abstract

Due to the significant growth in the demand for logistics services and the ongoing trend towards the outsourcing of logistics activities, logistics service providers have concurrently gained a significant profit-making opportunity and faced the unprecedented challenge of surviving in the midst of increasingly fierce market competition. This research thus aims to propose routing strategies that optimally integrate forward distribution and reverse collection to help logistics service providers reduce their operating costs when providing transportation services, and thus improve their market competitive power. The integrated routing problem is formulated as the mixed pickup-delivery asymmetric traveling salesman path problem. The problem is NP-hard and new in the literature. Therefore, the objectives of this research are to first model the problem and then develop an efficient and effective heuristic solution algorithm to the problem.

Suggested Citation

  • T-S Chang & Y-F Liao, 2011. "Routing strategies for integrating forward distribution and reverse collection," Journal of the Operational Research Society, Palgrave Macmillan;The OR Society, vol. 62(6), pages 971-981, June.
    • Handle: RePEc:pal:jorsoc:v:62:y:2011:i:6:d:10.1057_jors.2010.21
    DOI: 10.1057/jors.2010.21
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    References listed on IDEAS

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    1. Gerardo Berbeglia & Jean-François Cordeau & Irina Gribkovskaia & Gilbert Laporte, 2007. "Rejoinder on: Static pickup and delivery problems: a classification scheme and survey," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 15(1), pages 45-47, July.
    2. Mosheiov, Gur, 1994. "The Travelling Salesman Problem with pick-up and delivery," European Journal of Operational Research, Elsevier, vol. 79(2), pages 299-310, December.
    3. Gerardo Berbeglia & Jean-François Cordeau & Irina Gribkovskaia & Gilbert Laporte, 2007. "Static pickup and delivery problems: a classification scheme and survey," TOP: An Official Journal of the Spanish Society of Statistics and Operations Research, Springer;Sociedad de Estadística e Investigación Operativa, vol. 15(1), pages 1-31, July.
    4. Nagy, Gabor & Salhi, Said, 2005. "Heuristic algorithms for single and multiple depot vehicle routing problems with pickups and deliveries," European Journal of Operational Research, Elsevier, vol. 162(1), pages 126-141, April.
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    Cited by:

    1. Chang, Tsung-Sheng & Yen, Hui-Mei, 2012. "City-courier routing and scheduling problems," European Journal of Operational Research, Elsevier, vol. 223(2), pages 489-498.

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