Impact of travel time uncertainties on the solution cost of a two-echelon vehicle routing problem with synchronization

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Impact of travel time uncertainties on the solution cost of a two‑echelon vehicle routing problem with synchronization Alexandra Anderluh1   · Rune Larsen2 · Vera C. Hemmelmayr3 · Pamela C. Nolz4

© The Author(s) 2019

Abstract Two-echelon vehicle routing problems which contain synchronization between vehicles can be deeply impacted by time uncertainty, because one vehicle’s delay can propagate to other vehicles. In this paper, we evaluate the deterministic solution of such a problem based on simulated travel time scenarios. The information obtained by simulation is incorporated in the optimization procedure iteratively. Computational results show that the degree of synchronization in an instance is directly correlated with the potential improvements by reoptimization. We present findings on the number of travel time scenarios required to obtain a representative picture of the stochastic solutions. In addition, we demonstrate that time dependent travel times can be aggregated on a city-wide level and linearized as a function of free flow times without major loss of reliability. Keywords  Two-echelon vehicle routing · Travel time uncertainty · Synchronization · Simulation-optimization · City logistics

This work is partly funded by the Austrian Research Promotion Agency as part of the Joint Programming Initiative Urban Europe Project CONCOORD (FFG Project No. 839739). * Alexandra Anderluh [email protected] 1

Research Institute for Supply Chain Management, WU Vienna University of Economics and Business, 1020 Vienna, Austria

2

Management Engineering, DTU Technical University of Denmark, 2800 Kgs. Lyngby, Denmark

3

Institute for Transport and Logistics Management, WU Vienna University of Economics and Business, 1020 Vienna, Austria

4

Center for Mobility Systems, AIT Austrian Institute of Technology, 1210 Vienna, Austria



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A. Anderluh et al.

1 Introduction Emission-free, agile vehicles are increasingly used for freight deliveries within cities and especially within historic city centers. This development is triggered by the ongoing urbanization as well as the negative effects of climate change caused by greenhouse gas emissions. Also negative health effects in cities caused by other transport-related emissions (WHO 2016) contribute to this trend. However, innovative logistic concepts are required to enable the efficient use of these vehicles within a distribution network. Since the loading capacity and the operating distance of these vehicles are lower, certain limitations have to be taken into consideration. Either consolidation centers near the city center are required, where those vehicles can reload goods (Quak et al. 2014), or a reorganized distribution scheme with synchronization between different types of vehicles can be used to allow for reloading. The latter approach does not require additional storage facilities, but deals with the problem of reloading agile emission-free vehicles by synchronized meetings with possibly conventional vehicles of larger capacity and o