An Auction-Based Dispatching Method for an Electronic Brokerage of Truckload Vehicles

Abstract

This study suggests an electronic brokerage system that has the capability of efficiently matching dispatching delivery tasks with trucks. In the brokerage system, individual truck drivers and shippers are allowed to participate in the dispatching process through the internet or wireless communication. An auction-based dispatching method for the electronic brokerage system is suggested. The basic rationale of the auction-based dispatching method-which is a distributed decision-making process-is discussed. The performance of the suggested algorithms is evaluated by a simulation study.

Smart Method for Self-Organization in Last-Mile Parcel Delivery

“…On completion of an auction, tasks cannot be reassigned. Lee and Kim ( 26 ) diverge from this latter characteristic and propose a brokerage system that tries to find the best match between trucks and delivery tasks in an on-going fashion. In their method, new bids can be entered for past auctions until a specific deadline is reached.…”