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Integration of the Load Matching and Routing Problem with Equipment Balancing for Small Package Carriers

Cohn, Amy Mainville and Root, Sarah and Wang, Alex and Mohr, Doug (2005) Integration of the Load Matching and Routing Problem with Equipment Balancing for Small Package Carriers. [Industry Studies Working Paper:2005-04]

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Abstract

Small package delivery is a multi-billion dollar industry with complex planning decisions required to efficiently utilize costly resources and meet tight time requirements. The planning process is typically decomposed into sequential subproblems to establish tractability. This decomposition can greatly degrade solution quality. In this paper, we therefore consider the integration of two closely related key sub-problems: load matching and routing, and equipment balancing. First, we identify critical challenges faced in trying to solve these problems. Then, we present a novel modeling approach to address these challenges. Finally, we conclude with computational results from UPS, the world’s largest package delivery company, demonstrating an improvement of approximately 5% over their existing methods for solving this pair of problems.

Industry Studies Series #:2005-04
Item Type:Industry Studies Working Paper
Uncontrolled Keywords:industry studies, industry studies working paper, industry studies association, industry studies research
ID Code:60
Deposited By:Mr Robin Peterson
Deposited On:18 Feb 2010 13:49
Last Modified:07 Jun 2010 10:44

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