This paper aims to explore the commodity transshipment planning among customers, which is commonly observed in production/sales enterprises to save the operational costs.
A mixed integer programming (MIP) model is built and five types of valid inequalities for tightening the solution space are derived. An improved variable neighborhood search (IVNS) algorithm is presented combining the developed multistart initial solution strategy and modified neighborhood local search procedure.
Experimental results demonstrate that: with less decision variables considered, the proposed model can solve more instances compared to the existing model in previous literature. The valid inequalities utilized to tighten the searching space can efficiently help the model to obtain optimal solutions or high-quality lower bounds. The improved algorithm is efficient to obtain optimal or near-optimal solutions and superior to the compared algorithm in terms of solution quality, computational time and robustness.
This research not only can help reduce operational costs and improve logistics efficiency for relevant enterprises, but also can provide guidance for constructing the decision support system of logistics intelligent scheduling platform to cater for centralized management and control.
This paper develops a more compact model and some stronger valid inequalities. Moreover, the proposed algorithm is easy to implement and performs well.
