APPLICATION OF VEHICLE ROUTING AND SCHEDULING TECHNIQUES TO REAL WORLD PROBLEMS

Abstract

Surveys have shown that downstream distribution from distribution centres to customers accounts for about a quarter of the cost associated with the final value of a product. This fact highlights the importance of the cost associated with operating vehicles and crew for delivery purposes. This thesis deals with the application of vehicle routing and scheduling techniques to three different real world problems. These three problems are a vehicle routing and scheduling problem with time window and stochastic demand constraints in a due-date environment, a model for vending machine services in the soft drink industry, and a modelling study of a taxi service operation. Computational results are provided in the first study to demonstrate the effectiveness of the heuristics proposed. For the other two studies, the emphasis is on the methodology and no computational result is given. All the methodologies introduced are not restricted specifically to the problems addressed. Instead, with slight modifications, they are applicable to a wide range of other problems. The overall objective of these studies is to develop cost-effective operational procedures for solving real world problems. It is hoped that the models and results presented could serve to improve the productivity of operations management on a day-to-day basis and enhance the competitiveness of the business in question in the long run.