Parcel distribution timetabling problem with incomplete hub network

Abstract

The aim of parcel distribution timetabling problem is to optimize the movements of the parcels in their journey from their pickup to their delivery. The minimization of the time spent in this journey is a common objective for this problem. This paper provides a comprehensive presentation of this problem emphasizing its practical aspects. We develop a general mixed integer programming formulation that addresses the common case of incomplete hub network where the volume between two hubs is not large enough to justify the use of a dedicated transport. The developed model is illustrated through a real-world case. The obtained solution includes a decrease in the average time spent by the parcels (from pickup to delivery) by 19% in comparison to the existing practiced parcel schedule.