Real world applications for vehicle collection or delivery along streets usually lead to arc routing problems, with additional and complicating constraints. In this paper we focus on arc routing with an additional constraint to identify vehicle service routes with a limited number of shared nodes, i.e. vehicle service routes with a limited number of intersections. This constraint leads to solutions that are better shaped for real application purposes. We propose a new problem, the bounded overlapping MCARP (BCARP), which is defined as the mixed capacitated arc routing problem (MCARP) with an additional constraint imposing an upper bound on the number of nodes that are common to different routes. The best feasible upper bound is obtained from a modified MCARP in which the minimization criteria is given by the overlapping of the routes. We show how to compute this bound by solving a simpler problem. To obtain feasible solutions for the bigger instances of the BCARP heuristics are also proposed. Computational results taken from two well known instance sets show that, with only a small increase in total time traveled, the model BCARP produces solutions that are more attractive to implement in practice than those produced by the MCARP model.
Transportation management is a logistical activity with a high impact on a company's ability to compete in the market. Although the focus on cost reduction is the most usual concern with this activity, lead times and the quality of the service provided should also be considered depending on the market to be served. The goal of this research was to compare different fleet alternatives for a specific construction materials company and discuss which scenario is the most suited to fulfil the company's customer service policy. A case study approach was developed, and four alternative scenarios were considered. These were compared both regarding the costs they involve, which was analysed using a vehicle routing problem heuristic, and the quality of the customer service they allow, which was assessed based on their ability to provide flexibility in the fleet occupancy rate to respond to unexpected orders. Evidence showed that the current fleet solution is not adequate and investment should be made only if the demand level increases, otherwise outsourcing should be considered along with a minimum level of the self-owned fleet.
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