An intermodal transport network planning algorithm using dynamic programming--A case study: from Busan to Rotterdam in intermodal freight routing

Authors:
Jae Hyung Cho;Hyun Soo Kim;Hyung Rim Choi
Affiliations:
School of International Business and Area Studies, Pusan University of Foreign Studies, Busan, South Korea 608-738;Department of Management Information Systems, Dong-A University, Busan, South Korea 602-760;Department of Management Information Systems, Dong-A University, Busan, South Korea 602-760
Venue:
Applied Intelligence
Year:
2012

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Abstract

This paper presents a dynamic programming algorithm to draw optimal intermodal freight routing with regard to international logistics of container cargo for export and import. This study looks into the characteristics of intermodal transport using multi-modes, and presents a Weighted Constrained Shortest Path Problem (WCSPP) model. This study draws Pareto optimal solutions that can simultaneously meet two objective functions by applying the Label Setting algorithm, a type of Dynamic Programming algorithms, after setting the feasible area. To improve the algorithm performance, pruning rules have also been presented. The algorithm is applied to real transport paths from Busan to Rotterdam, as well as to large-scale cases. This study quantitatively measures the savings in both transport cost and time by comparing single transport modes with intermodal transport paths. Last, this study applies a mathematical model and MADM model to the multiple Pareto optimal solutions to estimate the solutions.