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Determining optimal inland-empty-container depot locations under stochastic demand

Author

Listed:
  • Mittal, Neha
  • Boile, Maria
  • Baveja, Alok
  • Theofanis, Sotiris

Abstract

Maritime freight volumes fluctuate with changes in consumer demand and global economies. In this paper we analyze the stochasticity in the container trade volumes and perform a two-stage stochastic analysis with recourse to determine an optimal set of inland depots to be opened within a 10-year time horizon. The work builds on our previous effort that introduced the concept of an ‘Inland-Depots-for-Empty-Containers’ (IDEC) system for effective regional repositioning of empty containers. We evaluate the proposed approach by performing a case study based on the port region of New York/New Jersey. Results obtained demonstrate greater expected benefit from the proposed approach as compared to the corresponding deterministic or single-stage stochastic models.

Suggested Citation

  • Mittal, Neha & Boile, Maria & Baveja, Alok & Theofanis, Sotiris, 2013. "Determining optimal inland-empty-container depot locations under stochastic demand," Research in Transportation Economics, Elsevier, vol. 42(1), pages 50-60.
    • Handle: RePEc:eee:retrec:v:42:y:2013:i:1:p:50-60
    DOI: 10.1016/j.retrec.2012.11.007
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    References listed on IDEAS

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    Cited by:

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    2. Hjortnaes, T. & Wiegmans, B. & Negenborn, R.R. & Zuidwijk, R.A. & Klijnhout, R., 2017. "Minimizing cost of empty container repositioning in port hinterlands, while taking repair operations into account," Journal of Transport Geography, Elsevier, vol. 58(C), pages 209-219.
    3. Shan, Wenxuan & Peng, Zixuan & Liu, Jiaming & Yao, Baozhen & Yu, Bin, 2020. "An exact algorithm for inland container transportation network design," Transportation Research Part B: Methodological, Elsevier, vol. 135(C), pages 41-82.
    4. Alaa Abdelshafie & May Salah & Tomaž Kramberger & Dejan Dragan, 2022. "Repositioning and Optimal Re-Allocation of Empty Containers: A Review of Methods, Models, and Applications," Sustainability, MDPI, vol. 14(11), pages 1-23, May.
    5. Amir Gharehgozli & Nima Zaerpour & Rene Koster, 2020. "Container terminal layout design: transition and future," Maritime Economics & Logistics, Palgrave Macmillan;International Association of Maritime Economists (IAME), vol. 22(4), pages 610-639, December.
    6. Jeong, Yoonjea & Saha, Subrata & Chatterjee, Debajyoti & Moon, Ilkyeong, 2018. "Direct shipping service routes with an empty container management strategy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 118(C), pages 123-142.

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    More about this item

    Keywords

    Empty equipment fleet management; Empty container repositioning; ‘Inland-Depots-for-Empty-Containers’ (IDEC) system; Facility location problem; Two-stage stochastic analysis with recourse; Scenario planning; Demand uncertainty;
    All these keywords.

    JEL classification:

    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R42 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government and Private Investment Analysis; Road Maintenance; Transportation Planning

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