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Liner shipping single service design problem with arrival time service levels

Author

Listed:
  • Kevin Tierney

    (Bielefeld University)

  • Jan Fabian Ehmke

    (Otto von Guericke University Magdeburg)

  • Ann Melissa Campbell

    (University of Iowa)

  • Daniel Müller

    (University of Paderborn)

Abstract

We introduce three mathematical models of increasing complexity for designing liner shipping services that guarantee the punctual arrival of vessels at a specified service level. On-time reliability is an important performance indicator for many liner carriers, but current approaches for creating new routes in liner shipping networks do not consider data-driven uncertainty. We perform an empirical analysis of vessel travel times in a real liner shipping network to develop probability distributions that we use within novel, chance-constrained mathematical models for liner shipping service design. Our models are also the first to support variable vessel speeds for service design. In our experiments, we use real-world data from 22 liner shipping routes and evaluate the designed services using a simulation procedure that demonstrates the effectiveness of our approach for reducing lateness. We show that our models can be effectively used for decision support at a tactical level not only for designing services, but also potentially for negotiating maximum demand transit times and prices with customers.

Suggested Citation

  • Kevin Tierney & Jan Fabian Ehmke & Ann Melissa Campbell & Daniel Müller, 2019. "Liner shipping single service design problem with arrival time service levels," Flexible Services and Manufacturing Journal, Springer, vol. 31(3), pages 620-652, September.
    • Handle: RePEc:spr:flsman:v:31:y:2019:i:3:d:10.1007_s10696-018-9325-y
    DOI: 10.1007/s10696-018-9325-y
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    References listed on IDEAS

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    Cited by:

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    3. Wang, Yadong & Wang, Shuaian, 2021. "Deploying, scheduling, and sequencing heterogeneous vessels in a liner container shipping route," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 151(C).
    4. Wetzel, Daniel & Tierney, Kevin, 2020. "Integrating fleet deployment into liner shipping vessel repositioning," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 143(C).

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