1 Department of Economics and Business - Business Studies, Department of Economics and Business Economics, Aarhus BSS, Aarhus University2 Department of Mathematics, Science and Technology, Aarhus University3 Department of Economics and Business Economics, Aarhus BSS, Aarhus University4 Department of Economics and Business Economics, Aarhus BSS, Aarhus University5 Department of Mathematics, Science and Technology, Aarhus University
The fixed charge transportation problem (FCTP) is a well-known and difficult optimization problem with lots of applications in logistics. It consists in finding a minimum cost network flow from a set of suppliers to a set of customers. Beside costs proportional to quantities transported, transportation costs do, however, include a fixed charge. Iterated local search and record-to-record travel are both simple local search based meta-heuristics that, to our knowledge, not yet have been applied to the FCTP. In this paper, we apply both types of search strategies and combine them into a single heuristic search procedure for the FCTP. The hybrid approach results in a relatively efficient heuristic method, capable to improve the currently best known heuristics for the FCTP on some of the test problem instances usually considered in the literature.
Main Research Area:
OR 2011 - International Conference on Operations Research