Abstract
This paper presents a modification of the Multi Depot Multi Period Vehicle Routing Problem with heterogeneous fleet (MDMPVRPHF) to consider capital expenditures and operating expenses (MDMPVRPHFMR). The aim is to design a product distribution network and minimize the total delivery cost. The MDMPVRPHF only considers transportation costs with transportation restrictions. In this paper, the purpose is to solve a real-life freight distribution problem that considers capital expenditures and operations expenses. The MDMPVRPHFMR is formulated as a mixed integer programming model. The results of the application of both models to a real case of study demonstrate the advantages presented by the MDMPVRPHFMR over the MDMPVRPHF. Hence, management restrictions must be considered when designing a real-life freight distribution problem. The study case is to develop a liquefied natural gas distribution model based on a real company operating in Mexico.
Original language | English |
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Pages (from-to) | 213-249 |
Number of pages | 37 |
Journal | Journal of Applied Research and Technology |
Volume | 17 |
Issue number | 4 |
State | Published - 1 Jan 2019 |
Keywords
- Freight distribution
- Heterogeneous fleet
- Multi Depot
- Multi Period
- Supply chain management
- Vehicle Routing Problem