Multi-objective Management in Freight Logistics: Increasing Capacity, Service Level and Safety with Optimization Algorithms

206 Pages·2020·4.752 MB·English

by  Massimiliano Caramia, Paolo Dell'Olmo

Massimiliano Caramia
Paolo Dell’Olmo
Multi-objective
Management in
Freight Logistics
Increasing Capacity, Service
Level, Sustainability, and Safety
with Optimization Algorithms
Second Edition
Multi-objective Management in Freight Logistics
Massimiliano Caramia
(cid:129)
’
Paolo Dell Olmo
Multi-objective Management
in Freight Logistics
Increasing Capacity, Service Level,
Sustainability, and Safety with Optimization
Algorithms
Second Edition
123
Massimiliano Caramia PaoloDell’Olmo
Department ofEnterprise Engineering Department ofStatistics
Universitàdi Roma“Tor Vergata” Sapienza Universitàdi Roma
Roma, Italy Roma, Italy
ISBN978-3-030-50811-1 ISBN978-3-030-50812-8 (eBook)
https://doi.org/10.1007/978-3-030-50812-8
1stedition:©Springer-VerlagLondonLimited2008
2ndedition:©SpringerNatureSwitzerlandAG2020
Thisworkissubjecttocopyright.AllrightsarereservedbythePublisher,whetherthewholeorpart
of the material is concerned, specifically the rights of translation, reprinting, reuse of illustrations,
recitation, broadcasting, reproduction on microfilms or in any other physical way, and transmission
orinformationstorageandretrieval,electronicadaptation,computersoftware,orbysimilarordissimilar
methodologynowknownorhereafterdeveloped.
The use of general descriptive names, registered names, trademarks, service marks, etc. in this
publicationdoesnotimply,evenintheabsenceofaspecificstatement,thatsuchnamesareexemptfrom
therelevantprotectivelawsandregulationsandthereforefreeforgeneraluse.
The publisher, the authors and the editors are safe to assume that the advice and information in this
book are believed to be true and accurate at the date of publication. Neither the publisher nor the
authors or the editors give a warranty, expressed or implied, with respect to the material contained
hereinorforanyerrorsoromissionsthatmayhavebeenmade.Thepublisherremainsneutralwithregard
tojurisdictionalclaimsinpublishedmapsandinstitutionalaffiliations.
ThisSpringerimprintispublishedbytheregisteredcompanySpringerNatureSwitzerlandAG
Theregisteredcompanyaddressis:Gewerbestrasse11,6330Cham,Switzerland
Preface
After more than 10 years from the first edition of this book, the need for
multi-objectiveoptimizationmodelsinfreightlogisticsisstillgrowing.Companies
engineeralwaysmorerobustsupplychainstoensureproductionalsointhecaseof
rarebutdisruptiveevents;anewconceptofsustainabilityischangingthevisionof
logistic enterprises and the competition and the factors determining the company
reputation are now more focused on green practices rather than just on efficiency
and profit. In this context, multi-objective optimization models represent a funda-
mental component of the intelligence of today’s freight logistic systems. We hope
that the second edition of this book will continue in contributing in the dissemi-
nation of this methodology.
Beyond a general revision of the book, there are some substantial changes with
respect to the first edition. We have introduced a chapter on “green supply chain”
and a chapter on “heterogenous fleets distribution models,” while we removed the
chapteron“heterogeneousstaffschedulinginlogisticplatforms.”“Centralbusiness
district freight logistic” has been analyzed as a section of the spacial structure of
urbanlogisticsinthefirst,introductory,chapter,whichhasbeenrewritteninlightof
recent developmentsinfreightlogistics.Examplesand implementations have been
introduced in the chapter related to the theory of multi-objective optimization.
Hence, in this second edition, after introducing the general working framework
and presenting multi-objectiveoptimization, we analyzegreen logistic focusing on
twomainaspects:greencorridorsandnetworkdesign;next,weshowlogisticissues
inamaritimeterminal.Further,westudymulti-objectiverouteplanning,relyingon
the application of hazardous material transportation. Finally, heterogeneous fleet
distribution models are discussed.
The goal of this second edition is still the same as that of the first one, i.e., to
provide decision-makers, practitioners, with methods and tools to implement
multi-objective optimization models in logistics. In preparing this new edition, we
v
vi Preface
thought also to students and, with this purpose, we made an effort in keeping the
book content easy to understand and enriched by implementation codes. We
attempted to make complex real logistic questions as simple as possible, trying to
provide a comprehensive view of the problems and the corresponding models,
hoping this can serve also as an effective teaching tool for logistics-related
disciplines.
Rome, Italy Massimiliano Caramia
May 2020 Paolo Dell’Olmo
Acknowledgements
TheauthorswishtothankEugeniaCivico,IsabellaLari,AlessandroMassacci,and
Maria Grazia Mecoli for their contribution in the implementation of the models in
Chap. 4; Pasquale Carotenuto, Monica Gentili, and Andrea Scozzari for their
contributiontothehazmatprojecttowhichChap.5refers;MonicaGentiliandPitu
Mirchandaniasco-authorsofpreviousworkonCentralBusinessDistrictspartially
related to Chap. 1; and Alessadra Cardinale, Claudia Cellulli, and Vincenzo
Germinara for their contributions related to Chap. 6.
vii
Contents
1 Freight Logistics: An Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.1 Some Data on Freight Logistics. . . . . . . . . . . . . . . . . . . . . . . . . . 1
1.2 Trends in Freight Logistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
1.2.1 Logistics Sprawl . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
1.2.2 Central Business Districts Logistics . . . . . . . . . . . . . . . . . 6
1.2.3 Multi-stage Logistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
1.3 Vehicle Routing Problems. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
2 Multi-objective Optimization. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
2.1 Multi-objective Management. . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
2.2 Multi-objective Optimization and Pareto-Optimal
Solutions . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
2.3 Techniques to Solve Multi-objective Optimization
Problems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
2.3.1 The Scalarization Technique. . . . . . . . . . . . . . . . . . . . . . . 24
2.3.2 The e-Constraints Approach . . . . . . . . . . . . . . . . . . . . . . . 27
2.3.3 Example and Implementation . . . . . . . . . . . . . . . . . . . . . . 29
2.3.4 Goal Programming. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
2.3.5 Example and Implementation . . . . . . . . . . . . . . . . . . . . . . 37
2.3.6 Multi-level Programming . . . . . . . . . . . . . . . . . . . . . . . . . 38
2.4 Multi-objective Optimization Integer Problems. . . . . . . . . . . . . . . 41
2.4.1 Multi-objective Shortest Paths . . . . . . . . . . . . . . . . . . . . . 43
2.4.2 Multi-objective Traveling Salesman Problem. . . . . . . . . . . 46
2.4.3 Other Applications of Multi-objective Optimization. . . . . . 47
2.5 Multi-objective Optimization by Metaheuristics . . . . . . . . . . . . . . 48
ix
x Contents
3 Green Supply Chain Management . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 53
3.2 Green Corridors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 54
3.2.1 Problem Definition and Mathematical Formulation . . . . . . 57
3.2.2 Implementation Details and Computational
Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60
3.3 Network Design in a Green Supply Chain . . . . . . . . . . . . . . . . . . 65
3.3.1 Problem Definition and Mathematical Formulation . . . . . . 65
3.3.2 Implementation Details and Computational
Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 73
4 Maritime Freight Logistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85
4.1 Capacity and Service Level in a Maritime
Terminal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 85
4.1.1 The Simulation Setting. . . . . . . . . . . . . . . . . . . . . . . . . . . 87
4.1.2 The Simulation Model . . . . . . . . . . . . . . . . . . . . . . . . . . . 90
4.1.3 Simulation Result Analysis. . . . . . . . . . . . . . . . . . . . . . . . 92
4.2 Final Remarks and Perspectives on Multi-objective
Scenarios . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 95
4.3 Container Allocation in a Maritime Terminal and Scheduling
of Inspection Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 96
4.3.1 Containers Allocation in a Maritime Terminal. . . . . . . . . . 97
4.3.2 Formulation of the Allocation Model . . . . . . . . . . . . . . . . 99
4.3.3 Implementation Details . . . . . . . . . . . . . . . . . . . . . . . . . . 101
4.4 Scheduling of Customs Inspections . . . . . . . . . . . . . . . . . . . . . . . 102
4.4.1 Implementation Details . . . . . . . . . . . . . . . . . . . . . . . . . . 105
4.4.2 Experimental Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105
5 Hazardous Material Transportation Problems . . . . . . . . . . . . . . . . . 111
5.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 111
5.2 Multi-objective Approaches to Hazmat Transportation . . . . . . . . . 114
5.2.1 The Problem of the Risk Equity. . . . . . . . . . . . . . . . . . . . 114
5.2.2 The Uncertainty in Hazmat Transportation . . . . . . . . . . . . 115
5.2.3 Some Particular Factors Influencing Hazmat
Transportation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 116
5.2.4 Technology in Hazmat Transportation. . . . . . . . . . . . . . . . 116
5.3 Risk Evaluation in Hazmat Transportation . . . . . . . . . . . . . . . . . . 117
5.3.1 Risk Models . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117
5.3.2 The Traditional Definition of Risk . . . . . . . . . . . . . . . . . . 118
5.3.3 Alternative Definition of Risk. . . . . . . . . . . . . . . . . . . . . . 119
5.3.4 An Axiomatic Approach to the Risk Definition . . . . . . . . . 120
5.3.5 Quantitative Analysis of the Risk . . . . . . . . . . . . . . . . . . . 122
Contents xi
5.4 The Equity and the Search for Dissimilar Paths . . . . . . . . . . . . . . 123
5.4.1 The Iterative Penalty Method . . . . . . . . . . . . . . . . . . . . . . 124
5.4.2 The Gateway Shortest Paths (GSPs) Method. . . . . . . . . . . 124
5.4.3 The Minimax Method . . . . . . . . . . . . . . . . . . . . . . . . . . . 125
5.4.4 The p-Dispersion Method. . . . . . . . . . . . . . . . . . . . . . . . . 127
5.4.5 A Comparison Between a Multi-objective Approach
and IPM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 129
5.5 The Hazmat Transportation on Congested
Networks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 132
5.5.1 Multi-commodity Minimum Cost Flow with
and Without Congestion. . . . . . . . . . . . . . . . . . . . . . . . . . 132
5.5.2 Test Problems on Grid Graphs . . . . . . . . . . . . . . . . . . . . . 136
5.5.3 The Linearized Model with Congestion. . . . . . . . . . . . . . . 137
5.6 The Problem of Balancing the Risk. . . . . . . . . . . . . . . . . . . . . . . 138
5.6.1 Problem Formulation . . . . . . . . . . . . . . . . . . . . . . . . . . . . 139
5.7 Bi-level Optimization Approaches to Hazmat
Transportation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 141
6 Heterogeneous Fleets Distribution Models . . . . . . . . . . . . . . . . . . . . 143
6.1 Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143
6.2 Deliveries with Drones in Health Emergency . . . . . . . . . . . . . . . . 144
6.2.1 The Mathematical Formulation. . . . . . . . . . . . . . . . . . . . . 146
6.2.2 Implementation Details and Experimental
Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 148
6.3 Truck and Drones Fleets for Goods Delivery . . . . . . . . . . . . . . . . 154
6.3.1 The Mathematical Formulation. . . . . . . . . . . . . . . . . . . . . 155
6.3.2 Implementation Details and Experimental
Results . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 158
6.4 Truck and Bike Fleets. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 164
6.4.1 The Mathematical Formulation. . . . . . . . . . . . . . . . . . . . . 166
References.... .... .... .... ..... .... .... .... .... .... ..... .... 179
Index .... .... .... .... .... ..... .... .... .... .... .... ..... .... 195