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Branch-and-Price-and-Cut for a Service Network Design and Hub Location Problem

Author

Listed:
  • Ann-Kathrin Rothenbächer

    (Department of Economics, Johannes Gutenberg-Universitaet Mainz, Germany)

  • Michael Drexl

    (Department of Economics, Johannes Gutenberg-Universitaet Mainz, and Fraunhofer Centre for Applied Research on Supply Chain Services SCS, Nuernberg, Germany)

  • Stefan Irnich

    (Department of Economics, Johannes Gutenberg-Universitaet Mainz, Germany)

Abstract

In the context of combined road-rail freight transport, we study the integrated tactical planning of hub locations and the design of a frequency service network. We consider a number of real-world constraints such as multiple transshipments of requests at hubs, transport time limits for requests, request splitting, and outsourcing possibilities. To our knowledge, the combination of problem features we deal with has not been described before. We present a path-based model and solve it with a branch-and-price-and-cut algorithm. Computational experiments show that large realistic instances from a major German rail freight company can be solved close to optimality within one hour on a standard desktop computer, allowing our algorithm to be used for practical planning purposes.

Suggested Citation

  • Ann-Kathrin Rothenbächer & Michael Drexl & Stefan Irnich, 2015. "Branch-and-Price-and-Cut for a Service Network Design and Hub Location Problem," Working Papers 1506, Gutenberg School of Management and Economics, Johannes Gutenberg-Universität Mainz, revised 06 Jul 2015.
    • Handle: RePEc:jgu:wpaper:1506
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    File URL: https://download.uni-mainz.de/RePEc/pdf/Discussion_Paper_1506.pdf
    File Function: First version, 2015
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    Keywords

    Service Network Design; Hub Location; Intermodal Transport; Branch-and-Price-and-Cut;
    All these keywords.

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