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Combined ship routing and inventory management in the salmon farming industry

Author

Listed:
  • Agostinho Agra

    (University of Aveiro)

  • Marielle Christiansen

    (Norwegian University of Science and Technology)

  • Kristine S. Ivarsøy

    (Norwegian University of Science and Technology)

  • Ida Elise Solhaug

    (Norwegian University of Science and Technology)

  • Asgeir Tomasgard

    (Norwegian University of Science and Technology)

Abstract

We consider a maritime inventory routing problem for Norway’s largest salmon farmer both producing the feed at a production factory and being responsible for fish farms located along the Norwegian coast. The company has bought two new ships to transport the feed from the factory to the fish farms and is responsible for the routing and scheduling of the ships. In addition, the company has to ensure that the feed at the production factory as well as at the fish farms is within the inventory limits. A mathematical model of the problem is presented, and this model is reformulated to improve the efficiency of the branch-and-bound algorithm and tightened with valid inequalities. To derive good solutions quickly, several practical aspects of the problem are utilized and two matheuristics developed. Computational results are reported for instances based on the real problem of the salmon farmer.

Suggested Citation

  • Agostinho Agra & Marielle Christiansen & Kristine S. Ivarsøy & Ida Elise Solhaug & Asgeir Tomasgard, 2017. "Combined ship routing and inventory management in the salmon farming industry," Annals of Operations Research, Springer, vol. 253(2), pages 799-823, June.
    • Handle: RePEc:spr:annopr:v:253:y:2017:i:2:d:10.1007_s10479-015-2088-x
    DOI: 10.1007/s10479-015-2088-x
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    References listed on IDEAS

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    1. Agra, Agostinho & Christiansen, Marielle & Delgado, Alexandrino & Simonetti, Luidi, 2014. "Hybrid heuristics for a short sea inventory routing problem," European Journal of Operational Research, Elsevier, vol. 236(3), pages 924-935.
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    8. Christiansen, Marielle & Fagerholt, Kjetil & Nygreen, Bjørn & Ronen, David, 2013. "Ship routing and scheduling in the new millennium," European Journal of Operational Research, Elsevier, vol. 228(3), pages 467-483.
    9. Roar Grønhaug & Marielle Christiansen & Guy Desaulniers & Jacques Desrosiers, 2010. "A Branch-and-Price Method for a Liquefied Natural Gas Inventory Routing Problem," Transportation Science, INFORMS, vol. 44(3), pages 400-415, August.
    10. Faramroze G. Engineer & Kevin C. Furman & George L. Nemhauser & Martin W. P. Savelsbergh & Jin-Hwa Song, 2012. "A Branch-Price-and-Cut Algorithm for Single-Product Maritime Inventory Routing," Operations Research, INFORMS, vol. 60(1), pages 106-122, February.
    11. Marielle Christiansen, 1999. "Decomposition of a Combined Inventory and Time Constrained Ship Routing Problem," Transportation Science, INFORMS, vol. 33(1), pages 3-16, February.
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