Template-Type: ReDIF-Paper 1.0
Author-Name: Arslan, A.M.
Author-Name-Last: Arslan
Author-Name-First: Alp
Author-Name: Agatz, N.A.H.
Author-Name-Last: Agatz
Author-Name-First: Niels
Author-Name: Srour, F.J.
Author-Name-Last: Srour
Author-Name-First: Jordan
Title: Model Formulations for Pickup and Delivery Problems in Designated Driver Services
Abstract: Designated driver services use company vehicles to deliver drivers to customers. The drivers then drive the
 customers from their origins to their destinations in the customers’ own cars; at the destinations the drivers
 are picked up by a company vehicle. We typically see teams of drivers assigned to company vehicles serving
 customers. When, however, the drivers may be dropped off by one vehicle and picked up by another, a
 challenging, novel pick-up and delivery problem arises. In this paper, we introduce two formulations to solve
 this problem to optimality using a general purpose solver. In particular, we present a three-index and a two-
 index mixed integer program formulation to generate optimal, least-cost routes for the company vehicles and
 drivers. Using these MIPs, we find that the two-index formulation outperforms the three-index formulations
 by solving more instances to optimality within a given run time limit. Our computational experiments also
 show that up to 60% cost savings are possible from using a flexible operating strategy as compared to a
 strategy in which drivers and company vehicles stay together throughout a shift.
Length: 24
Creation-Date: 2023-02-27
File-URL: https://repub.eur.nl/pub/137161/ERS-2023-004-LIS_a.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2023-004-LIS
Keywords: routing, dial-a-ride, pickup and delivery problem, designated driver services, routing with precedence
Handle: RePEc:ems:eureri:137161