Quantifying the impact of inland transport times on container fleet sizing in liner shipping services with uncertainties

Container fleet sizing is a key issue in liner shipping industry. Although container shipping is an intermodal transport system, inland container movements are often beyond the control of shipping lines. It is vital to understand how the inland transport times and their variability affect the container fleet sizing. This paper first formulates the container fleet sizing problem in liner services with uncertain customer demands and stochastic inland transport times. Simulation-based optimisation approaches are then employed to solve the problem. Two typical shipping services, one cyclic route in trans-Pacific lane and the other more complicated route in Europe–Asia lane, are used as case studies. A quantitative relationship between the optimal container fleet size and the inland transport time is established. The impact of uncertainties in inland times on the fleet sizing is also investigated. The results provide shipping companies useful insights into making strategic decisions.

[1]  Jonathan Carter,et al.  Optimal empty vehicle redistribution for hub-and-spoke transportation systems , 2008 .

[2]  Michael Roe,et al.  Integrated vehicle fleet-sizing, leasing and dispatching policy in a shuttle service system , 2007 .

[3]  Scott Kirkpatrick,et al.  Optimization by simulated annealing: Quantitative studies , 1984 .

[4]  Dong-Ping Song Optimal threshold control of empty vehicle redistribution in two depot service systems , 2005, IEEE Transactions on Automatic Control.

[5]  Warren B. Powell,et al.  Dynamic Control of Logistics Queueing Networks for Large-Scale Fleet Management , 1998, Transp. Sci..

[6]  I ScottKirkpatrick Optimization by Simulated Annealing: Quantitative Studies , 1984 .

[7]  Peter Köchel,et al.  Optimal control of a distributed service system with moving resources: Application to the fleet sizing and allocation problem , 2003 .

[8]  Dean A. Jones,et al.  Robust optimization for fleet planning under uncertainty , 2003 .

[9]  William C. Jordan,et al.  Fleet Sizing under Production Cycles and Uncertain Travel Times , 1986, Transp. Sci..

[10]  David E. Goldberg,et al.  Genetic Algorithms in Search Optimization and Machine Learning , 1988 .

[11]  Akio Imai,et al.  Strategic fleet size planning for maritime refrigerated containers , 2001 .

[12]  T. T. Narendran,et al.  Tactical Locomotive Fleet Sizing for Freight Train Operations , 2008 .

[13]  Hanif D. Sherali,et al.  Determining Rail Fleet Sizes for Shipping Automobiles , 2000, Interfaces.

[14]  Curtis F. Gerald Applied numerical analysis , 1970 .

[15]  C. D. Gelatt,et al.  Optimization by Simulated Annealing , 1983, Science.

[16]  Keivan Ghoseiri,et al.  A simulated annealing approach for the multi-periodic rail-car fleet sizing problem , 2009, Comput. Oper. Res..

[17]  R. Hall,et al.  Fleet sizing and empty equipment redistribution for center-terminal transportation networks , 1997 .

[18]  Michael C. Fu,et al.  Optimization via simulation: A review , 1994, Ann. Oper. Res..

[19]  D.-P. Song,et al.  Characterizing optimal empty container reposition policy in periodic-review shuttle service systems , 2007, J. Oper. Res. Soc..

[20]  Dong-Won Jang,et al.  Fleet sizing and vehicle routing for container transportation in a static environment , 2004, OR Spectr..

[21]  Michel Gendreau,et al.  Dynamic and Stochastic Models for the Allocation of Empty Containers , 1993, Oper. Res..

[22]  Mark A. Turnquist,et al.  A Model for Fleet Sizing and Vehicle Allocation , 1991, Transp. Sci..

[23]  Dong-Ping Song,et al.  Container fleet sizing and empty repositioning in liner shipping systems , 2009 .

[24]  Christopher F. Earl,et al.  Optimal empty vehicle repositioning and fleet-sizing for two-depot service systems , 2008, Eur. J. Oper. Res..

[25]  Thomas Bäck,et al.  Evolutionary algorithms in theory and practice - evolution strategies, evolutionary programming, genetic algorithms , 1996 .

[26]  Hanif D. Sherali,et al.  Static and dynamic time-space strategic models and algorithms for multilevel rail-car fleet management , 1997 .

[27]  Nebojsa J. Bojovic,et al.  A general system theory approach to rail freight car fleet sizing , 2002, Eur. J. Oper. Res..