Hub location–allocation in intermodal logistic networks

• Published in: European journal of operational research Vol. 210; no. 2; pp. 213 - 230
• Main Authors: Ishfaq, Rafay, Sox, Charles R.
• Format: Journal Article
• Language: English
• Published: Amsterdam Elsevier B.V 16.04.2011; Elsevier; Elsevier Sequoia S.A
• Series: European Journal of Operational Research
• Subjects: Applied sciences; Availability; Costs; Exact sciences and technology; Flows in networks. Combinatorial problems; Ground, air and sea transportation, marine construction; Heuristic; Heuristic methods; Hub networks; Intermodal; Lagrange multiplier; Logistics; Logistics Intermodal Transportation Hub networks; Mathematical models; Networks; Operational research; Operational research and scientific management; Operational research. Management science; Optimization algorithms; Performance evaluation; Reliability theory. Replacement problems; Studies; Transportation; Transportation planning, management and economics; Transportation problem (Operations research); Hub networks; Intermodal; Transportation; Logistics; Availability; Multimodel; Lower bound; Multimodel control; Multimodal transportation; Network hub; Fixed cost; Economy of transports; Location problem; Service time; Lagrange multiplier; Transportation problem; Tabu search; Transportation network; Heuristic method; Relaxation method; Localization; Dynamic model; Metamodel
• ISSN: 0377-2217; 1872-6860
• DOI: 10.1016/j.ejor.2010.09.017

Within the context of intermodal logistics, the design of transportation networks becomes more complex than it is for single mode logistics. In an intermodal network, the respective modes are characterized by the transportation cost structure, modal connectivity, availability of transfer points and service time performance. These characteristics suggest the level of complexity involved in designing intermodal logistics networks. This research develops a mathematical model using the multiple-allocation p-hub median approach. The model encompasses the dynamics of individual modes of transportation through transportation costs, modal connectivity costs, and fixed location costs under service time requirements. A tabu search meta-heuristic is used to solve large size (100 node) problems. The solutions obtained using this meta-heuristic are compared with tight lower bounds developed using a Lagrangian relaxation approach. An experimental study evaluates the performance of the intermodal logistics networks and explores the effects and interactions of several factors on the design of intermodal hub networks subject to service time requirements.