Abstract
Time-definite less-than-truckload (LTL) carriers deliver small, time-guaranteed shipments for shippers. We analyze the hub network configuration under cost minimization and profit maximization behaviors. We extend a perfect inelasticity on demand with cost minimization to an elastic demand hub location design with profit maximization. We formulate this problem as a mixed-integer program that is solved using implicit enumeration with an embedded pricing subproblem. The computational results for a carrier's operational network in Taiwan showed that different behaviors result in noticeably different pricing and demand distributions. In addition, profit optimization builds a denser hub network than cost minimization to increase profit.
| Original language | English |
|---|---|
| Pages (from-to) | 104-120 |
| Number of pages | 17 |
| Journal | Transportation Research Part E: Logistics and Transportation Review |
| Volume | 114 |
| DOIs | |
| Publication status | Published - 2018 Jun |
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All Science Journal Classification (ASJC) codes
- Business and International Management
- Civil and Structural Engineering
- Transportation
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Hub network design problem with profit optimization for time-definite LTL freight transportation. / Lin, Cheng Chang; Lee, Shwu Chiou.
In: Transportation Research Part E: Logistics and Transportation Review, Vol. 114, 06.2018, p. 104-120.Research output: Contribution to journal › Article
TY - JOUR
T1 - Hub network design problem with profit optimization for time-definite LTL freight transportation
AU - Lin, Cheng Chang
AU - Lee, Shwu Chiou
PY - 2018/6
Y1 - 2018/6
N2 - Time-definite less-than-truckload (LTL) carriers deliver small, time-guaranteed shipments for shippers. We analyze the hub network configuration under cost minimization and profit maximization behaviors. We extend a perfect inelasticity on demand with cost minimization to an elastic demand hub location design with profit maximization. We formulate this problem as a mixed-integer program that is solved using implicit enumeration with an embedded pricing subproblem. The computational results for a carrier's operational network in Taiwan showed that different behaviors result in noticeably different pricing and demand distributions. In addition, profit optimization builds a denser hub network than cost minimization to increase profit.
AB - Time-definite less-than-truckload (LTL) carriers deliver small, time-guaranteed shipments for shippers. We analyze the hub network configuration under cost minimization and profit maximization behaviors. We extend a perfect inelasticity on demand with cost minimization to an elastic demand hub location design with profit maximization. We formulate this problem as a mixed-integer program that is solved using implicit enumeration with an embedded pricing subproblem. The computational results for a carrier's operational network in Taiwan showed that different behaviors result in noticeably different pricing and demand distributions. In addition, profit optimization builds a denser hub network than cost minimization to increase profit.
UR - http://www.scopus.com/inward/record.url?scp=85045619460&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=85045619460&partnerID=8YFLogxK
U2 - 10.1016/j.tre.2018.03.007
DO - 10.1016/j.tre.2018.03.007
M3 - Article
AN - SCOPUS:85045619460
VL - 114
SP - 104
EP - 120
JO - Transportation Research, Part E: Logistics and Transportation Review
JF - Transportation Research, Part E: Logistics and Transportation Review
SN - 1366-5545
ER -