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An integral constrained generalized hub-and-spoke network design problem

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  • Lin, Cheng-Chang
  • Chen, Sheu-Hua

Abstract

The hub-and-spoke network design problem determines the smallest fleet size with their routes and freight paths to minimize operating costs. We proposed a generalized hub-and-spoke network in a capacitated and directed network configuration that integrates the operations of three common hub-and-spoke networks: pure, stopover and center directs. An implicit enumeration algorithm with embedded integrally constrained multi-commodity min-cost flow was developed. Tested using the FedEx AsiaOne air network, the solution showed that the generalized network structure provided an operational flexibility, using center directs, topoffs/drop-offs, transits and rehandling via hubs, to determine the most cost-effective operations plan.

Suggested Citation

  • Lin, Cheng-Chang & Chen, Sheu-Hua, 2008. "An integral constrained generalized hub-and-spoke network design problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 44(6), pages 986-1003, November.
    • Handle: RePEc:eee:transe:v:44:y:2008:i:6:p:986-1003
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    Citations

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    Cited by:

    1. Omar Ben-Ayed, 2012. "Redesigning the inter-facility network of a parcel distribution company in a developing country," International Journal of Services, Economics and Management, Inderscience Enterprises Ltd, vol. 4(1), pages 27-42.
    2. Lin, Cheng-Chang & Lee, Shwu-Chiou, 2018. "Hub network design problem with profit optimization for time-definite LTL freight transportation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 114(C), pages 104-120.
    3. G. Guastaroba & M. G. Speranza & D. Vigo, 2016. "Intermediate Facilities in Freight Transportation Planning: A Survey," Transportation Science, INFORMS, vol. 50(3), pages 763-789, August.
    4. Guo, Xin & Sun, Huijun & Wu, Jianjun & Jin, Jiangang & Zhou, Jin & Gao, Ziyou, 2017. "Multiperiod-based timetable optimization for metro transit networks," Transportation Research Part B: Methodological, Elsevier, vol. 96(C), pages 46-67.
    5. Kulkarni, Onkar & Dahan, Mathieu & Montreuil, Benoit, 2022. "Resilient Hyperconnected Parcel Delivery Network Design Under Disruption Risks," International Journal of Production Economics, Elsevier, vol. 251(C).
    6. Nagurney, Anna & Yu, Min & Floden, Jonas & Nagurney, Ladimer S., 2014. "Supply chain network competition in time-sensitive markets," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 70(C), pages 112-127.
    7. Chen, Jingxu & Liu, Zhiyuan & Wang, Shuaian & Chen, Xuewu, 2018. "Continuum approximation modeling of transit network design considering local route service and short-turn strategy," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 119(C), pages 165-188.
    8. Estrada-Romeu, Miquel & Robusté, Francesc, 2015. "Stopover and hub-and-spoke shipment strategies in less-than-truckload carriers," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 76(C), pages 108-121.
    9. Martina Jakara & Nikolina Brnjac, 2023. "Foliated Transport Networks in Intermodal Freight Transport," Sustainability, MDPI, vol. 15(9), pages 1-13, April.
    10. Meuffels, W.J.M., 2015. "The design of road and air networks for express service providers," Other publications TiSEM d3266cb8-bc55-41be-adc7-4, Tilburg University, School of Economics and Management.
    11. Shuangyan Li & Yijing Liang & Zhenjie Wang & Dezhi Zhang, 2021. "An Optimization Model of a Sustainable City Logistics Network Design Based on Goal Programming," Sustainability, MDPI, vol. 13(13), pages 1-20, July.
    12. Yan Sun & Xinya Li, 2019. "Fuzzy Programming Approaches for Modeling a Customer-Centred Freight Routing Problem in the Road-Rail Intermodal Hub-and-Spoke Network with Fuzzy Soft Time Windows and Multiple Sources of Time Uncerta," Mathematics, MDPI, vol. 7(8), pages 1-40, August.
    13. Yu, Shunan & Yang, Zhongzhen & Yu, Bin, 2017. "Air express network design based on express path choices – Chinese case study," Journal of Air Transport Management, Elsevier, vol. 61(C), pages 73-80.
    14. Jin, Jian Gang & Tang, Loon Ching & Sun, Lijun & Lee, Der-Horng, 2014. "Enhancing metro network resilience via localized integration with bus services," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 63(C), pages 17-30.
    15. SteadieSeifi, M. & Dellaert, N.P. & Nuijten, W. & Van Woensel, T. & Raoufi, R., 2014. "Multimodal freight transportation planning: A literature review," European Journal of Operational Research, Elsevier, vol. 233(1), pages 1-15.
    16. Carman K.M. Lee & Shuzhu Zhang & Kam K.H. Ng, 2019. "Design of An Integration Model for Air Cargo Transportation Network Design and Flight Route Selection," Sustainability, MDPI, vol. 11(19), pages 1-12, September.

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