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Near Real-Time Loadplan Adjustments for Less-than-Truckload Carriers

Yassine Ridouane(yridouane***at***gatech.edu)
Ian Herszterg(iherszterg***at***gatech.edu)
Natashia Boland(natashia.boland***at***isye.gatech.edu)
Alan Erera(alan.erera***at***isye.gatech.edu)
Martin Savelsbergh(martin.savelsbergh***at***isye.gatech.edu)

Abstract: We design and implement decision support technology to assist dispatchers in the daily management of loadplans in less-than-truckload service networks. The freight volume that enters a service network on the day of operations deviates from the forecast freight volume used to create the loadplan. These deviations cause inefficiencies when the capacity on planned freight paths is no longer sufficient and delays result in missed service promises. Near real-time loadplan adjustments, i.e., rerouting freight on alternate paths, can improve on-time performance without incurring additional cost (e.g., without purchasing additional capacity). The problem of identifying effective alternate freight paths is modeled on a time-expanded network and fast heuristics are developed for its solution in order to ensure that there is sufficient time to put the adjusted loadplan in place. The loadplan adjustment technology has been extensively tested using data from a large US less-than-truckload carrier. The results show that on-time performance can be improved without increasing cost, i.e., by rerouting freight and using existing capacity in the service network.

Keywords: Less-Than-Truckload; Service Networks; Load Planning; Operational Planning

Category 1: Applications -- OR and Management Sciences (Transportation )

Category 2: Applications -- OR and Management Sciences


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Entry Submitted: 01/13/2020
Entry Accepted: 01/13/2020
Entry Last Modified: 01/13/2020

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