Robust Bi-level Routing Problem for the Last Mile Delivery Under Demand and Travel Time Uncertainty
Designing the last mile delivery system in a lean way has become an important part of serving customers efficiently and economically. However, in practice, the uncertainty in customer demand and travel times often means vehicles capacity may be exceeded along the planed route and vehicles miss theses time windows, increasing the cost, reducing efficiency and decreasing the customer satisfaction. Previous studies have lacked an uncertainty-based view, and few studies have discussed how to develop an uncertain model. To address this issue, the bi-level routing problem for the last mile delivery is formulated as a robust vehicle routing problem with uncertain customer demand and travel times. In addition, a modified simulated annealing algorithm is proposed and tested in computational experiments. The results show that the proposed model has good performance for uncertainty processing.
KeywordsLast mile delivery Uncertainty Modified simulated annealing algorithm Robust optimization
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