Opportunity costs calculation in agent-based vehicle routing and scheduling

In this paper we consider a real-time, dynamic pickup and delivery problem with timewindows where orders should be assigned to one of a set of competing transportation companies. Our approach decomposes the problem into a multi-agent structure where vehicle agents are responsible for the routing and scheduling decisions and the assignment of orders to vehicles is done by using a second-price auction. Therefore the system performance will be heavily dependent on the pricing strategy of the vehicle agents. We propose a pricing strategy for vehicle agents based on dynamic programming where not only the direct cost of a job insertion is taken into account, but also its impact on future opportunities. We also propose a waiting strategy based on the same opportunity valuation. Simulation is used to evaluate the benefit of pricing opportunities compared to simple pricing strategies in different market settings. Numerical results show that the proposed approach provides high quality solutions, in terms of profits, capacity utilization and delivery reliability

On the use of reference points for the biobjective Inventory Routing Problem

The article presents a study on the biobjective inventory routing problem. Contrary to most previous research, the problem is treated as a true multi-objective optimization problem, with the goal of identifying Pareto-optimal solutions. Due to the hardness of the problem at hand, a reference point based optimization approach is presented and implemented into an optimization and decision support system, which allows for the computation of a true subset of the optimal outcomes. Experimental investigation involving local search metaheuristics are conducted on benchmark data, and numerical results are reported and analyzed

Look-ahead strategies for dynamic pickup and delivery problems

In this paper we consider a dynamic full truckload pickup and delivery problem with time-windows. Jobs arrive over time and are offered in a second-price auction. Individual vehicles bid on these jobs and maintain a schedule of the jobs they have won. We propose a pricing and scheduling strategy based on dynamic programming where not only the direct costs of a job insertion are taken into account, but also the impact on future opportunities. Simulation is used to evaluate the benefits of pricing opportunities compared to simple pricing strategies in various market settings. Numerical results show that the proposed approach provides high quality solutions, in terms of profits, capacity utilization, and delivery reliability

The dynamic nearest neighbor policy for the multi-vehicle pick-up and delivery problem

In this paper, a dynamic nearest neighbor (DNN) policy is proposed for operating a fleet of vehicles to serve customers, who place calls in a Euclidean service area according to a Poisson process. Each vehicle serves one customer at a time, who has a distinct origin and destination independently and uniformly distributed within the service area. The new DNN policy is a refined version of the nearest neighbor (NN) policy that is well known to perform sub-optimally when the frequency of customer requests is high. The DNN policy maintains geographically closest customer-to-vehicle assignments, due to its ability to divert/re-assign vehicles that may be already en-route to pick up other customers, when another vehicle becomes available or a new customer call arrives. Two other pertinent issues addressed include: the pro-active deployment of the vehicles by anticipating in which regions of the service area future calls are more likely to arise; and, imposition of limits to avoid prohibitively long customer wait times. The paper also presents accurate approximations for all the policies compared. Extensive simulations, some of which are included herein, clearly show the DNN policy to be tangibly superior to the first-comefirst-served (FCFS) and NN policies

Dynamic Time-Dependent Route Planning in Road Networks with User Preferences

There has been tremendous progress in algorithmic methods for computing driving directions on road networks. Most of that work focuses on time-independent route planning, where it is assumed that the cost on each arc is constant per query. In practice, the current traffic situation significantly influences the travel time on large parts of the road network, and it changes over the day. One can distinguish between traffic congestion that can be predicted using historical traffic data, and congestion due to unpredictable events, e.g., accidents. In this work, we study the \emph{dynamic and time-dependent} route planning problem, which takes both prediction (based on historical data) and live traffic into account. To this end, we propose a practical algorithm that, while robust to user preferences, is able to integrate global changes of the time-dependent metric~(e.g., due to traffic updates or user restrictions) faster than previous approaches, while allowing subsequent queries that enable interactive applications