A study of vehicle allocation using a transportation freight-based algorithm

Abstract

With the activation of internet use and the increased amount of online business increase in recent years, the volume of transportation, distribution and logistics is dramatically expanding. As a result, it is getting harder to maintain vehicles and ensure vehicle suppliers' availability. One of the most important tasks of logistics companies is to manage transportation and its process more efficiently. As such, there have been a number of studies dealing with the Vehicle Routing Problem and the Vehicle Scheduling Problem for efficient vehicle allocation planning. But it is difficult to reflect the daily changes in the traffic situation and detailed geographic conditions, and as the number of depots increases it requires a large scale of database and huge consumption of time for calculations, which can make things very inefficient. To solve the vehicle allocation planning problems of Third Party Logistics(3PLs) firms that are faced with various constraints due to transportation cost, this paper proposes an algorithm-based transportation freight/income and new vehicle allocation information system. © 2014 International Information Institute.