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Rule-based incentive mechanism design for a decentralised collaborative transport network

Author

Listed:
  • Mariam Lafkihi

    (CGS i3 - Centre de Gestion Scientifique i3 - Mines Paris - PSL (École nationale supérieure des mines de Paris) - PSL - Université Paris Sciences et Lettres - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique)

  • Shenle Pan

    (CGS i3 - Centre de Gestion Scientifique i3 - Mines Paris - PSL (École nationale supérieure des mines de Paris) - PSL - Université Paris Sciences et Lettres - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique)

  • Eric Ballot

    (CGS i3 - Centre de Gestion Scientifique i3 - Mines Paris - PSL (École nationale supérieure des mines de Paris) - PSL - Université Paris Sciences et Lettres - I3 - Institut interdisciplinaire de l’innovation - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper considers an incentive mechanism coupled with a set of collaborative rules in a decentralised collaborative transport network (CTN), taking the Physical Internet as an example. The goal of the proposed mechanism is to increase the efficiency, effectiveness, and sustainability of the network without decreasing the individual profit of the independent carriers. A multi-agent simulation model was developed to evaluate the performance of the proposed mechanism and rules and to analyse the impacts on the overall performance of the decentralised CTN. Moreover, two significant factors were identified and studied: network and market characteristics (e.g., demand to supply ratio), and competition between carriers. A baseline scenario with no collaboration was also simulated for comparison. The results indicate that collaborative rules are advantageous for all market types regardless of the competition in the network. This paper is among the first to investigate collaborative mechanisms and rules for decentralised CTN, especially with regard to sustainability issues. It also provides an effective methodology for designing mechanisms and rules in decentralised CTN, as well as for assessing performance.

Suggested Citation

  • Mariam Lafkihi & Shenle Pan & Eric Ballot, 2020. "Rule-based incentive mechanism design for a decentralised collaborative transport network," Post-Print hal-02378284, HAL.
    • Handle: RePEc:hal:journl:hal-02378284
    DOI: 10.1080/00207543.2019.1693658
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    Citations

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    Cited by:

    1. Guo, Chaojie & Thompson, Russell G. & Foliente, Greg & Kong, Xiang T.R., 2021. "An auction-enabled collaborative routing mechanism for omnichannel on-demand logistics through transshipment," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 146(C).
    2. Briand, Martin & Franklin, Rod & Lafkihi, Mariam, 2022. "A dynamic routing protocol with payments for the Physical Internet: A simulation with learning agents," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 166(C).

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