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Hybrid metaheuristic solutions to inventory location routing problem

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  • Zhang, Ying
  • Qi, Mingyao
  • Miao, Lixin
  • Liu, Erchao

Abstract

This paper considers a supply chain network with multiple depots and geographically dispersed customers, each of which faces non-constant demand over a discrete planning horizon. The goal is to determine a set of depots to open, the delivery quantities to customers per period and the sequence in which they are replenished by a vehicle fleet such that the total system-wide cost is minimized. To solve it, first we construct a mixed integer program, and then propose a hybrid metaheuristic consisting of initialization, intensification and post-optimization. Results show that the proposed heuristic is considerably efficient and effective for many classical instances.

Suggested Citation

  • Zhang, Ying & Qi, Mingyao & Miao, Lixin & Liu, Erchao, 2014. "Hybrid metaheuristic solutions to inventory location routing problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 70(C), pages 305-323.
    • Handle: RePEc:eee:transe:v:70:y:2014:i:c:p:305-323
    DOI: 10.1016/j.tre.2014.07.010
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    Cited by:

    1. Li, Ming & Wang, Zheng & Chan, Felix T.S., 2016. "A robust inventory routing policy under inventory inaccuracy and replenishment lead-time," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 91(C), pages 290-305.
    2. Fattahi, Mohammad & Mahootchi, Masoud & Govindan, Kannan & Moattar Husseini, Seyed Mohammad, 2015. "Dynamic supply chain network design with capacity planning and multi-period pricing," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 81(C), pages 169-202.
    3. Shang, Xiaoting & Zhang, Guoqing & Jia, Bin & Almanaseer, Mohammed, 2022. "The healthcare supply location-inventory-routing problem: A robust approach," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 158(C).
    4. Lihua Liu & Lai Soon Lee & Hsin-Vonn Seow & Chuei Yee Chen, 2022. "Logistics Center Location-Inventory-Routing Problem Optimization: A Systematic Review Using PRISMA Method," Sustainability, MDPI, vol. 14(23), pages 1-39, November.
    5. Tapia-Ubeda, Francisco J. & Miranda, Pablo A. & Macchi, Marco, 2018. "A Generalized Benders Decomposition based algorithm for an inventory location problem with stochastic inventory capacity constraints," European Journal of Operational Research, Elsevier, vol. 267(3), pages 806-817.
    6. Zhang, Ying & Qi, Mingyao & Lin, Wei-Hua & Miao, Lixin, 2015. "A metaheuristic approach to the reliable location routing problem under disruptions," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 83(C), pages 90-110.
    7. Liu, Aijun & Zhu, Qiuyun & Xu, Lei & Lu, Qiang & Fan, Youqing, 2021. "Sustainable supply chain management for perishable products in emerging markets: An integrated location-inventory-routing model," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 150(C).
    8. Zheng, Xiaojin & Yin, Meixia & Zhang, Yanxia, 2019. "Integrated optimization of location, inventory and routing in supply chain network design," Transportation Research Part B: Methodological, Elsevier, vol. 121(C), pages 1-20.
    9. Paredes-Belmar, Germán & Marianov, Vladimir & Bronfman, Andrés & Obreque, Carlos & Lüer-Villagra, Armin, 2016. "A milk collection problem with blending," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 94(C), pages 26-43.
    10. Zhao, Jiahong & Ke, Ginger Y., 2017. "Incorporating inventory risks in location-routing models for explosive waste management," International Journal of Production Economics, Elsevier, vol. 193(C), pages 123-136.
    11. Erfan Babaee Tirkolaee & Alireza Goli & Abbas Mardani, 2023. "A novel two-echelon hierarchical location-allocation-routing optimization for green energy-efficient logistics systems," Annals of Operations Research, Springer, vol. 324(1), pages 795-823, May.
    12. Chen Chao & Tian Zhihui & Yao Baozhen, 2019. "Optimization of two-stage location–routing–inventory problem with time-windows in food distribution network," Annals of Operations Research, Springer, vol. 273(1), pages 111-134, February.
    13. Schuster Puga, Matías & Tancrez, Jean-Sébastien, 2017. "A heuristic algorithm for solving large location–inventory problems with demand uncertainty," European Journal of Operational Research, Elsevier, vol. 259(2), pages 413-423.
    14. Gia-Shie Liu & Kuo-Ping Lin, 2020. "The Online Distribution System of Inventory-Routing Problem with Simultaneous Deliveries and Returns Concerning CO 2 Emission Cost," Mathematics, MDPI, vol. 8(6), pages 1-27, June.

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