An efficient mixed integer programming model for pairing containers in inland transportation based on the assignment of orders with CJ Korea express freight Vietnam case study

Abstract

In general, we have 20-ft and 40-ft containers in drayage transportation. In reality, there are more than one order in a container and many parties (shipping lines, haulage companies, customers) who share the operation of containers. Therefore, how we can optimize the total travelling cost and penalty cost for each order in individual delivery or paired delivery is the main purpose of this thesis. In this research, we assume that all containers are transported in inland-import only which mean the first location is an initial port/depot and destinations are customers’ locations. The thesis applies an assignment mixed integer linear programming model, which solves the problem of combining orders in delivery to save the total transportation cost when orders in both single and multiple destinations. Moreover, we can estimate the total working time of each vehicle transporting orders based on transportation cost and penalty cost constraints. Keywords: Pairing containers. Drayage transportation. An assignment MILP. Import of containers.