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Simulation-based optimisation approach for the stochastic two-echelon logistics problem

Author

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  • Ran Liu
  • Yangyi Tao
  • Qiaoyu Hu
  • Xiaolei Xie

Abstract

This work proposes a simulation-based optimisation approach for the two-echelon vehicle routing problem with stochastic demands (2E-VRPSD). In the proposed 2E-VRPSD, freight delivery from the depot to the customers is managed by shipping the freight through intermediate satellites, while each customer has a stochastic demand. The 2E-VRPSD is an extension of the famous capacitated vehicle routing problem with stochastic demands and the two-echelon vehicle routing problem (2E-VRP). A tabu search algorithm is designed to solve the 2E-VRPSD, in which Monte Carlo sampling is adopted to tackle the issue of stochastic demands. Modified two-echelon vehicle routing problem benchmark instances are used in the numerical experiments. The computational results show the advantage of the proposed simulation-based approach.

Suggested Citation

  • Ran Liu & Yangyi Tao & Qiaoyu Hu & Xiaolei Xie, 2017. "Simulation-based optimisation approach for the stochastic two-echelon logistics problem," International Journal of Production Research, Taylor & Francis Journals, vol. 55(1), pages 187-201, January.
    • Handle: RePEc:taf:tprsxx:v:55:y:2017:i:1:p:187-201
    DOI: 10.1080/00207543.2016.1201221
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    Cited by:

    1. Sluijk, Natasja & Florio, Alexandre M. & Kinable, Joris & Dellaert, Nico & Van Woensel, Tom, 2023. "Two-echelon vehicle routing problems: A literature review," European Journal of Operational Research, Elsevier, vol. 304(3), pages 865-886.
    2. Li, Linman & Li, Yuqing & Liu, Ran & Zhou, Yaoming & Pan, Ershun, 2023. "A Two-stage Stochastic Programming for AGV scheduling with random tasks and battery swapping in automated container terminals," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 174(C).
    3. Huang, Yixiao & Savelsbergh, Martin & Zhao, Lei, 2018. "Designing logistics systems for home delivery in densely populated urban areas," Transportation Research Part B: Methodological, Elsevier, vol. 115(C), pages 95-125.

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