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The inventory-routing problem of returnable transport items with time windows and simultaneous pickup and delivery in closed-loop supply chains

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  • Iassinovskaia, Galina
  • Limbourg, Sabine
  • Riane, Fouad

Abstract

Reducing environmental impact, related regulations and potential for operational benefits are the main reasons why companies share their returnable transport items (RTIs) among the different partners of a closed-loop supply chain. In this paper, we consider a producer, located at a depot, who has to distribute his products packed in RTIs to a set of customers. Customers define a time window wherein the service can begin. The producer is also in charge of the collection of empty RTIs for reuse in the next production cycle. Each partner has a storage area composed of both empty and loaded RTI stock, as characterized by initial levels and maximum storage capacity. As deliveries and returns are performed by a homogeneous fleet of vehicles that can carry simultaneously empty and loaded RTIs, this research addresses a pickup and delivery inventory-routing problem within time windows (PDIRPTW) over a planning horizon. A mixed-integer linear program is developed and tested on small-scale instances. To handle more realistic large-scale problems, a cluster first-route second matheuristic is proposed.

Suggested Citation

  • Iassinovskaia, Galina & Limbourg, Sabine & Riane, Fouad, 2017. "The inventory-routing problem of returnable transport items with time windows and simultaneous pickup and delivery in closed-loop supply chains," International Journal of Production Economics, Elsevier, vol. 183(PB), pages 570-582.
    • Handle: RePEc:eee:proeco:v:183:y:2017:i:pb:p:570-582
    DOI: 10.1016/j.ijpe.2016.06.024
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