Industrial Engineering Journal ›› 2024, Vol. 27 ›› Issue (2): 107-118,137.doi: 10.3969/j.issn.1007-7375.230228

• Industrial Interconnection & Manufacturing Service Management • Previous Articles    

Order Dispatching and Routing for Decentralized Joint Distribution Considering Empty-loading Losses

ZHANG Meng1, SUN Lulu1, SU Bing1, WANG Nengmin2,3   

  1. 1. School of Economics and Management, Xi’an Technological University, Xi’an 710021, China;
    2. School of Management, Xi’an Jiaotong University, Xi’an 710049, China;
    3. ERC for Process Mining of Manufacturing Services in Shaanxi Province, Xi’an 710049, China
  • Received:2023-12-03 Published:2024-04-29

Abstract: The high empty-loading rate in logistics activities may result from unreasonable routing and insufficient cooperation among enterprises. Joint distribution is an effective mode to reduce empty-loading losses. However, under the condition of decentralized joint distribution, logistics enterprises may choose the routes with minimum cost based on the assigned orders, resulting in an increase in empty-loading losses of the joint distribution alliance. This study investigates order dispatching and routing for decentralized joint distribution considering empty-loading losses. A definition of empty-loading losses is given firstly. Then, with the trade-off between the objectives of minimizing cost and empty-loading losses in the entire distribution process, an order dispatching strategy is proposed based on the characteristics of decentralized joint distribution mode, and the order dispatching and routing optimization models are developed. A precise algorithm based on epsilon constraint method, an improved MOPSO (Multiple Objective Particle Swarm Optimization) algorithm, and a polynomial-time fast algorithm are developed to solve the problem. The effectiveness of the proposed algorithms is verified based on numerical instances. Analysis results indicate that even if logistics companies pursue cost minimization, the proposed order dispatching strategy can achieve results similar to global optimization.

Key words: decentralized joint distribution, empty-loading losses, order dispatching, vehicle routing, multi-objective optimization

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