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Article
Publication date: 15 June 2017

Jianfeng Zheng, Cong Fu and Haibo Kuang

This paper aims to investigate the location of regional and international hub ports in liner shipping by proposing a hierarchical hub location problem.

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Abstract

Purpose

This paper aims to investigate the location of regional and international hub ports in liner shipping by proposing a hierarchical hub location problem.

Design/methodology/approach

This paper develops a mixed-integer linear programming model for the authors’ proposed problem. Numerical experiments based on a realistic Asia-Europe-Oceania liner shipping network are carried out to account for the effectiveness of this model.

Findings

The results show that one international hub port (i.e. Rotterdam) and one regional hub port (i.e. Zeebrugge) are opened in Europe. Two international hub ports (i.e. Sokhna and Salalah) are located in Western Asia, where no regional hub port is established. One international hub port (i.e. Colombo) and one regional hub port (i.e. Cochin) are opened in Southern Asia. One international hub port (i.e. Singapore) and one regional hub port (i.e. Jakarta) are opened in Southeastern Asia and Australia. Three international hub ports (i.e. Hong Kong, Shanghai and Yokohama) and two regional hub ports (i.e. Qingdao and Kwangyang) are opened in Eastern Asia.

Originality/value

This paper proposes a hierarchical hub location problem, in which the authors distinguish between regional and international hub ports in liner shipping. Moreover, scale economies in ship size are considered. Furthermore, the proposed problem introduces the main ports.

Details

Maritime Business Review, vol. 2 no. 2
Type: Research Article
ISSN: 2397-3757

Keywords

Article
Publication date: 21 April 2020

Wanjie Hu, Jianjun Dong, Bon-Gang Hwang, Rui Ren and Zhilong Chen

Underground logistics system (ULS) is recognized as sustainable alleviator to road-dominated urban logistics infrastructure with various social and environmental benefits. The…

Abstract

Purpose

Underground logistics system (ULS) is recognized as sustainable alleviator to road-dominated urban logistics infrastructure with various social and environmental benefits. The purpose of this study is to propose effective modeling and optimization method for planning a hub-and-spoke ULS network in urban region.

Design/methodology/approach

Underground freight tunnels and the last-mile ground delivery were organized as a hierarchical network. A mixed-integer programming model (MIP) with minimum system cost was developed. Then a two-phase optimization schema combining Genetic-based fuzzy C-means algorithm (GA-FCM), Depth-first-search FCM (DFS-FCM) algorithm and Dijkstra algorithm (DA), etc. was designed to optimize the location-allocation of ULS facilities and customer clusters. Finally, a real-world simulation was conducted for validation.

Findings

The multistage strategy and hybrid algorithms could efficiently yield hub-and-spoke network configurations at the lowest objective cost. GA-FCM performed better than K-means in customer-node clustering. The combination of DFS-FCM and DA achieved superior network configuration than that of combining K-means and minimum spanning tree technique. The results also provided some management insights: (1) greater scale economies effect in underground freight movement could reduce system budget, (2) changes in transportation cost would not have obvious impact on ULS network layout and (3) over 90% of transportation process in ULS network took place underground, giving remarkable alleviation to road freight traffic.

Research limitations/implications

Demand pairs among customers were not considered due to lacking data. Heterogeneity of facilities capacity parameters was omitted.

Originality/value

This study has used an innovative hybrid optimization technique to address the two-phase network planning of urban ULS. The novel design and solution approaches offer insights for urban ULS development and management.

Details

Engineering, Construction and Architectural Management, vol. 27 no. 8
Type: Research Article
ISSN: 0969-9988

Keywords

Article
Publication date: 12 June 2024

Ankit Sharma, Suresh Kumar Jakhar, Ilias Vlachos and Satish Kumar

Over the past two decades, the hub location domain has witnessed remarkable growth, yet no prior study reviewed and synthesised problem formulation and solution methodologies to…

Abstract

Purpose

Over the past two decades, the hub location domain has witnessed remarkable growth, yet no prior study reviewed and synthesised problem formulation and solution methodologies to address real-life challenges.

Design/methodology/approach

The current study conducts a comprehensive bibliometric literature review to develop a thematic framework that describes and presents hub location problems. The work employs cluster, bibliometric, and social network analyses to delve into the essential themes.

Findings

Key themes include cooperation, coopetition, sustainability, reshoring, and dynamic demand, contributing to the complex challenges in today’s hub location problems. As the first work in this field, the study serves as a valuable single-source reference, providing scholars and industry practitioners with key insights into the evolution of hub location research, prominent research clusters, influential authors, leading countries, and crucial keywords.

Research limitations/implications

Findings have significant implications since they highlight the current state of hub location research and set the stage for future endeavours. Specifically, by identifying prominent research clusters, scholars can explore promising directions to push the boundaries of knowledge in this area.

Originality/value

This work is a valuable resource for scholars in this domain and offers practical insights for industry practitioners seeking to understand the hub location problems. Overall, the study’s holistic approach provides a solid foundation for advancing future research work in the hub location field.

Details

International Journal of Productivity and Performance Management, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1741-0401

Keywords

Open Access
Article
Publication date: 30 April 2012

Afzal Mohammad Khaled and Yong Jin Kim

Logistical facility location decisions can make a crucial difference in the success or failure of a company. Geographical Information Systems (GIS) have recently become a very…

Abstract

Logistical facility location decisions can make a crucial difference in the success or failure of a company. Geographical Information Systems (GIS) have recently become a very popular decision support system to help deal with facility location problems. However, until recently, GIS methodologies have not been fully embraced as a way to deal with new facility location problems in business logistics. This research makes a framework for categorizing empirical facility location problems based on the intensity of the involvement of GIS methodologies in decision making. This framework was built by analyzing facility location models and GIS methodologies. The research results revealed the depth of the embracement of GIS methodologies in logistics for determining new facility location decisions. In the new facility location decisions, spatial data inputs are almost always coupled with the visualization of the problems and solutions. However, the usage of GIS capability solely (i.e. suitability analysis) for problem solving has not been embraced at the same level. In most cases, the suitability analysis is used together with special optimization models for choosing among the multiple alternatives.

Details

Journal of International Logistics and Trade, vol. 10 no. 1
Type: Research Article
ISSN: 1738-2122

Keywords

Article
Publication date: 21 August 2021

Mehnoosh Soleimani, Mohammad Khalilzadeh, Arman Bahari and Ali Heidary

One of the practical issues in the area of location and allocation is the location of the hub. In recent years, exchange rates have fluctuated sharply for a number of reasons such…

Abstract

Purpose

One of the practical issues in the area of location and allocation is the location of the hub. In recent years, exchange rates have fluctuated sharply for a number of reasons such as sanctions against the country. Natural disasters that have occurred in recent years caused delays in hub servicing. The purpose of this study is to develop a mathematical programming model to minimize costs, maximize social responsibility and minimize fuel consumption so that in the event of a disruption in the main hub, the flow of materials can be directed to its backup hub to prevent delays in flow between nodes and disruptions in hubs.

Design/methodology/approach

A multi-objective mathematical programming model is developed considering uncertainty in some parameters, especially cost as fuzzy numbers. In addition, backup hubs are selected for each primary hub to deal with disruption and natural disasters and prevent delays. Then, a robust possibilistic method is proposed to deal with uncertainty. As the hub location-allocation problem is considered as NP-Hard problems so that exact methods cannot solve them in large sizes, two metaheuristic algorithms including a non-dominated sorting genetic algorithm non-dominated sorting genetic algorithm (NSGA-II) and multi-objective particle swarm optimization (MOPSO) are applied to tackle the problem.

Findings

Numerical results show the proposed model is valid. Also, they demonstrate that the NSGA-II algorithm outperforms the MOPSO algorithm.

Practical implications

The proposed model was implemented in one of the largest food companies in Iran, which has numerous products manufactured in different cities, to seek the hub locations. Also, due to several reasons such as road traffic and route type the difference in the rate of fuel consumption between nodes, this model helps managers and decision-makers to choose the best locations to have the least fuel consumption. Moreover, as the hub set up increases the employment rate in that city and has social benefits as it requires hiring some staff.

Originality/value

This paper investigates the hub location problem considering backup hubs with multiple objective functions to deal with disruption and uncertainty. Also, this study examines how non-hub nodes are assigned to hub nodes.

Details

World Journal of Engineering, vol. 19 no. 6
Type: Research Article
ISSN: 1708-5284

Keywords

Article
Publication date: 6 June 2022

Rafael Diaz, Canh Phan, Daniel Golenbock and Benjamin Sanford

With the proliferation of e-commerce companies, express delivery companies must increasingly maintain the efficient expansion of their networks in accordance with growing demands…

Abstract

Purpose

With the proliferation of e-commerce companies, express delivery companies must increasingly maintain the efficient expansion of their networks in accordance with growing demands and lower margins in a highly uncertain environment. This paper provides a framework for leveraging demand data to determine sustainable network expansion to fulfill the increasing needs of startups in the express delivery industry.

Design/methodology/approach

While the literature points out several hub assignment methods, the authors propose an alternative spherical-clustering algorithm for densely urbanized population environments to strengthen the accuracy and robustness of current models. The authors complement this approach with straightforward mathematical optimization and simulation models to generate and test designs that effectively align environmentally sustainable solutions.

Findings

To examine the effects of different degrees of demand variability, the authors analyzed this approach's performance by solving a real-world case study from an express delivery company's primary market. The authors structured a four-stage implementation framework to facilitate practitioners applying the proposed model.

Originality/value

Previous investigations explored driving distances on a spherical surface for facility location. The work considers densely urbanized population and traffic data to simultaneously capture demand patterns and other road dynamics. The inclusion of different population densities and sustainability data in current models is lacking; this paper bridges this gap by posing a novel framework that increases the accuracy of spherical-clustering methods.

Details

Industrial Management & Data Systems, vol. 122 no. 7
Type: Research Article
ISSN: 0263-5577

Keywords

Article
Publication date: 16 July 2024

Guang Zhang and Jingyi Ge

This paper aims to study the establishment of cooperative supply game model considering transportation hub location, and design the profit allocation rule of the cooperative…

Abstract

Purpose

This paper aims to study the establishment of cooperative supply game model considering transportation hub location, and design the profit allocation rule of the cooperative supply coalition.

Design/methodology/approach

Based on the economic lost-sizing (ELS) game model and considering the location of transportation hub and the topology design of basic traffic network, we build a supply game model to maximize the profit of cooperative supply coalition. Based on the principle of proportion and the method of process allocation, we suppose the procedural proportional solution of the supplier cooperative supply game.

Findings

Through numerical examples, the validity and applicability of the proposed model and the procedural proportional solution were verified by comparing the procedural proportional solution with the weighted Shapley value, the equal division solution and the proportional rule.

Originality/value

This paper constructs a feasible mixed integer programming model for cooperative supply game. We also provide the algorithm of the allocation rule of cooperative supply game and the property analysis of the allocation rule.

Details

Kybernetes, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0368-492X

Keywords

Article
Publication date: 30 December 2020

Ali Heidari, Din Mohammad Imani and Mohammad Khalilzadeh

This paper aims to study the hub transportation system in supply chain networks which would contribute to reducing costs and environmental pollution, as well as to economic…

Abstract

Purpose

This paper aims to study the hub transportation system in supply chain networks which would contribute to reducing costs and environmental pollution, as well as to economic development and social responsibility. As not all customers tend to buy green products, several customer groups should be considered in terms of need type.

Design/methodology/approach

In this paper, a multi-objective hub location problem is developed for designing a sustainable supply chain network based on customer segmentation. It deals with the aspects of economic (cost reduction), environment (minimizing greenhouse gas emissions by the transport sector) and social responsibility (creating employment and community development). The epsilon-constraint method and augmented epsilon-constraint (AEC) method are used to solve the small-sized instances of this multi-objective problem. Due to the non-deterministic polynomial-time hardness of this problem, two non-dominated sorting genetic algorithm-II (NSGA-II) and multi-objective grey wolf optimizer (MOGWO) metaheuristic algorithms are also applied to tackle the large-sized instances of this problem.

Findings

As expected, the AEC method is able to provide better Pareto solutions according to the goals of the decision-makers. The Taguchi method was used for setting the parameters of the two metaheuristic algorithms. Considering the meaningful difference, the MOGWO algorithm outperforms the NSGA-II algorithm according to the rate of achievement to two objectives simultaneously and the spread of non-dominance solutions indexes. Regarding the other indexes, there was no meaningful difference between the performance of the two algorithms.

Practical implications

The model of this research provides a comprehensive solution for supply chain companies that want to achieve a rational balance between the three aspects of sustainability.

Originality/value

The importance of considering customer diversity on the one hand and saving on hub transportation costs, on the other hand, triggered us to propose a hub location model for designing a sustainable supply chain network based on customer segmentation.

Details

Journal of Engineering, Design and Technology , vol. 19 no. 6
Type: Research Article
ISSN: 1726-0531

Keywords

Article
Publication date: 29 May 2019

Mehdi Abbasi, Nahid Mokhtari, Hamid Shahvar and Amin Mahmoudi

The purpose of this paper is to solve large-scale many-to-many hub location-routing problem (MMHLRP) using variable neighborhood search (VNS). The MMHLRP is a combination of a…

Abstract

Purpose

The purpose of this paper is to solve large-scale many-to-many hub location-routing problem (MMHLRP) using variable neighborhood search (VNS). The MMHLRP is a combination of a single allocation hub location and traveling salesman problems that are known as one of the new fields in routing problems. MMHLRP is considered NP-hard since the two sub-problems are NP-hard. To date, only the Benders decomposition (BD) algorithm and the variable neighborhood particle swarm optimization (VNPSO) algorithm have been applied to solve the MMHLRP model with ten nodes and more (up to 300 nodes), respectively. In this research, the VNS method is suggested to solve large-scale MMHLRP (up to 1,000 nodes).

Design/methodology/approach

Generated MMHLRP sample tests in the previous work were considered and were added to them. In total, 35 sample tests of MMHLRP models between 10 and 1,000 nodes were applied. Three methods (BD, VNPSO and VNS algorithms) were run by a computer to solve the generated sample tests of MMHLRP. The maximum available time for solving the sample tests was 6 h. Accuracy (value of objective function solution) and speed (CPU time consumption) were considered as two major criteria for comparing the mentioned methods.

Findings

Based on the results, the VNS algorithm was more efficient than VNPSO for solving the MMHLRP sample tests with 10–440 nodes. It had many similarities with the exact BD algorithm with ten nodes. In large-scale MMHLRP (sample tests with more than 440 nodes (up to 1,000 nodes)), the previously suggested methods were disabled to solve the problem and the VNS was the only method for solving samples after 6 h.

Originality/value

The computational results indicated that the VNS algorithm has a notable efficiency in comparison to the rival algorithm (VNPSO) in order to solve large-scale MMHLRP. According to the computational results, in the situation that the problems were solved for 6 h using both VNS and VNPSO, VNS solved the problems with more accuracy and speed. Additionally, VNS can only solve large-scale MMHLRPs with more than 440 nodes (up to 1,000 nodes) during 6 h.

Article
Publication date: 1 June 2003

You‐Il Lee and Michael Hobday

The Korean Government wishes to transform the nation into a Northeast Asian business hub. Following economic crisis, there are attempts to move the economy towards a new…

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Abstract

The Korean Government wishes to transform the nation into a Northeast Asian business hub. Following economic crisis, there are attempts to move the economy towards a new market‐oriented paradigm of economic growth based on foreign direct investment (FDI) and market friendly transparent corporate governance, replacing the old model of the developmental state, involving intimate and opaque business‐government relations, which has dominated Korean policy for at least three decades. This paper presents findings from 37 interviews conducted with senior executives of foreign companies and various chambers of commerce in Korea. The paper offers new insights into the critical and often invisible issues which need to be confronted and successfully resolved for the transformation of Korea. In providing a critical analysis, the paper examines alternative interpretations of the hub concept, key advantages offered by Korea, the main barriers to becoming a hub, competition from other locations and draws lessons for government policy makers.

Details

Management Decision, vol. 41 no. 5
Type: Research Article
ISSN: 0025-1747

Keywords

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