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Core-based cost allocation in the cooperative traveling salesman problem

Listed author(s):
  • Kimms, A.
  • Kozeletskyi, I.
Registered author(s):

    This paper presents a cost allocation scheme for a horizontal cooperation of traveling salesmen that is implemented a priori and provides expected costs for the coalition members. The cost allocation is determined using the core concept. To compute the value of the characteristic function over the whole planning horizon the TSP with release dates combined with simulation is used. The developed core computation algorithm, based on mathematical programming techniques, provides a core element or, in case of an empty core, a least-core element. To decrease the computational effort of core computation a row generation procedure is implemented. The developed computation study tests the computational performance of the solution procedure.

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    Article provided by Elsevier in its journal European Journal of Operational Research.

    Volume (Year): 248 (2016)
    Issue (Month): 3 ()
    Pages: 910-916

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    Handle: RePEc:eee:ejores:v:248:y:2016:i:3:p:910-916
    DOI: 10.1016/j.ejor.2015.08.002
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    1. Audy, Jean-François & D’Amours, Sophie & Rönnqvist, Mikael, 2012. "An empirical study on coalition formation and cost/savings allocation," International Journal of Production Economics, Elsevier, vol. 136(1), pages 13-27.
    2. Frisk, M. & Göthe-Lundgren, M. & Jörnsten, K. & Rönnqvist, M., 2010. "Cost allocation in collaborative forest transportation," European Journal of Operational Research, Elsevier, vol. 205(2), pages 448-458, September.
    3. Cruijssen, Frans & Cools, Martine & Dullaert, Wout, 2007. "Horizontal cooperation in logistics: Opportunities and impediments," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(2), pages 129-142, March.
    4. Guajardo, Mario & Rönnqvist, Mikael, 2015. "Operations research models for coalition structure in collaborative logistics," European Journal of Operational Research, Elsevier, vol. 240(1), pages 147-159.
    5. Wang, Xin & Kopfer, Herbert & Gendreau, Michel, 2014. "Operational transportation planning of freight forwarding companies in horizontal coalitions," European Journal of Operational Research, Elsevier, vol. 237(3), pages 1133-1141.
    6. Cruijssen, Frans & Borm, Peter & Fleuren, Hein & Hamers, Herbert, 2010. "Supplier-initiated outsourcing: A methodology to exploit synergy in transportation," European Journal of Operational Research, Elsevier, vol. 207(2), pages 763-774, December.
    7. Lozano, S. & Moreno, P. & Adenso-Díaz, B. & Algaba, E., 2013. "Cooperative game theory approach to allocating benefits of horizontal cooperation," European Journal of Operational Research, Elsevier, vol. 229(2), pages 444-452.
    8. Berger, Susanne & Bierwirth, Christian, 2010. "Solutions to the request reassignment problem in collaborative carrier networks," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 46(5), pages 627-638, September.
    9. Potters, J.A.M. & Curiel, I. & Tijs, S.H., 1992. "Traveling salesman games," Other publications TiSEM 0dd4cf3d-25fa-4179-80f6-6, Tilburg University, School of Economics and Management.
    10. Drechsel, J. & Kimms, A., 2010. "Computing core allocations in cooperative games with an application to cooperative procurement," International Journal of Production Economics, Elsevier, vol. 128(1), pages 310-321, November.
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