Integrating partner objectives in horizontal logistics optimisation models

In this paper a general solution framework is presented for optimising decisions in a horizontal logistics cooperation. The framework distinguishes between the objective of the group and the objectives of the individual partners in the coalition. Although the importance of the individual partner interests is often acknowledged in the literature, the proposed solution framework is the first to include these objectives directly into the objective function of the optimisation model. The solution framework is applied to a collaborative variant of the clustered vehicle routing problem, for which we also create a set of benchmark instances.