An efficient algorithm for evaluating logistics network reliability subject to distribution cost

• Published in: Transportation research. Part E, Logistics and transportation review Vol. 67; pp. 175 - 189
• Main Authors: Niu, Yi-Feng, Lam, William H.K., Gao, Ziyou
• Format: Journal Article
• Language: English
• Published: Exeter Elsevier India Pvt Ltd 01.07.2014; Elsevier Sequoia S.A
• Subjects: Algorithms; d-Minimal path/(d, c)-minimal path; Distribution cost; Distribution costs; Logistics; Logistics network; Probability distribution; Reliability; Studies; Transportation problem (Operations research); Logistics network; Reliability; Distribution cost; d-Minimal path/(d, c)-minimal path
• ISSN: 1366-5545; 1878-5794
• DOI: 10.1016/j.tre.2014.04.009

•We propose a (d, c)-minimal paths based method to evaluate the reliability R(d,c).•We develop two effective schemes to reduce the search space of (d, c)-minimal paths.•Our method outperforms the existing methods in searching for (d, c)-minimal paths. This paper presents a (d, c)-minimal paths based algorithm to evaluate the reliability index R(d,c), defined as the probability that the source distributes a demand d successfully to the destination with the total distribution cost not exceeding budget constraint c. The proposed algorithm employs two schemes to reduce the search space of (d, c)-minimal paths: (1) by proposing some conditions, an improved method for solving (d, c)-minimal paths is developed; (2) an existing decomposition technique is applied to limit the search space. Computational results show a clear advantage of the proposed algorithm in seeking (d, c)-minimal paths.