Vehicle routing problem for mass-consumption product using genetic algorithm

Abstract

Vehicle routing problem is a multi-objective problem. The problem involves optimizing a fleet of vehicles that are to serve a number of customers from a central depot. Each vehicle has limited capacity and each customer has a certain demand. After giving a brief information about supply chain and logistics management, application areas and core problems a procedure is introduced for the optimization of a customer order service management system with a structured distribution network of a cement company of Bangladesh. As the case study, the daily distribution planning problem of a cement company is considered. In this research designing an efficient solution for the decision maker is aimed. At the beginning, the definition of real problem is given and all the constraints are put forth for consideration. By examining the existing system and distribution planning process, it is realized that it should be encountered with capacitated vehicle routing problem. First, the mathematical model of the problem was formulated as mixed-integer programming. Then, another literature survey was done for selecting an efficient solution algorithm or heuristic which can give optimum results. Next, genetic algorithm was applied to deal with the problem. The goal of the research was to find a solution of Vehicle Routing Problem using genetic algorithm. It generates feasible clusters of resellers or distributors and determines delivery sequence and an optimal distribution network to meet demands by travelling minimum distance. The results of the study show that Genetic Algorithm provides a search technique, in computing true or approximate solution of search problems. The technique was able to determine the optimum route for the vehicles, while maintaining their constraints to get an optimal distribution network that minimizes the total travelling distance.