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More-for-less algorithm for fixed-charge transportation problems
Journal article   Peer reviewed

More-for-less algorithm for fixed-charge transportation problems

Veena Adlakha, Krzysztof Kowalski, R.R. Vemuganti and Benjamin Lev
Omega (Oxford), v 35(1), pp 116-127
2007
DOI: https://doi.org/10.1016/j.omega.2006.03.001
Featured in Collection :   UN Sustainable Development Goals @ Drexel

Abstract

Fixed-charge Heuristics More-for-less paradox Transportation problem
The more-for-less (MFL) phenomenon in distribution problems occurs when it is possible to ship more total goods for less (or equal) total cost, while shipping the same quantity or more from each origin and to each destination. This paradox occurs often in fixed-charge transportation problems (FCTPs), and further analysis could bring significant reduction in costs. The MFL phenomenon for FCTPs has received minimal attention in the literature despite the fact that existing analytical algorithms, such as branch and bound, are limited to small problems due to excessive computational effort. In this paper, we develop a simple heuristic algorithm to identify the demand destinations and the supply points to ship MFL in FCTPs. The proposed method builds upon any existing basic feasible solution. It is easy to implement and can serve as an effective tool for managers for solving the more-for-less paradox for large distribution problems.

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30 citations in Web of Science
55 citations in Scopus

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Collaboration types
Domestic collaboration
Web of Science research areas
Management
Operations Research & Management Science
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