AndreasFinkandFranzRothlauf(Eds.) AdvancesinComputationalIntelligenceinTransport,Logistics,andSupplyChain Management StudiesinComputationalIntelligence,Volume144 Editor-in-Chief Prof.JanuszKacprzyk SystemsResearchInstitute PolishAcademyofSciences ul.Newelska6 01-447Warsaw Poland E-mail:[email protected] Furthervolumesofthisseriescanbefoundonourhomepage: Vol.133.ManuelGran˜aandRichardJ.Duro(Eds.) springer.com ComputationalIntelligenceforRemoteSensing,2008 ISBN978-3-540-79352-6 Vol.123.ShuichiIwata,YukioOhsawa,ShusakuTsumoto,Ning Vol.134.NgocThanhNguyenandRadoslawKatarzyniak(Eds.) Zhong,YongShiandLorenzoMagnani(Eds.) NewChallengesinAppliedIntelligenceTechnologies,2008 CommunicationsandDiscoveriesfromMultidisciplinaryData, ISBN978-3-540-79354-0 2008 ISBN978-3-540-78732-7 Vol.135.HsinchunChenandChristopherC.Yang(Eds.) 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Advances in Computational Intelligence in Transport, Logistics, and Supply Chain Management 123 Prof.Dr.AndreasFink FacultyofEconomicsandSocialSciences Helmut-Schmidt-UniversityHamburg Holstenhofweg85 22043Hamburg Germany Email:andreas.fi[email protected] Prof.Dr.FranzRothlauf Lehrstuhlfu¨rWirtschaftsinformatik Johannes-Gutenberg-Universita¨tMainz JakobWelder-Weg9 D-55099Mainz Germany Email:[email protected] ISBN978-3-540-69024-5 e-ISBN978-3-540-69390-1 DOI10.1007/978-3-540-69390-1 StudiesinComputationalIntelligence ISSN1860949X LibraryofCongressControlNumber:2008927876 (cid:2)c 2008Springer-VerlagBerlinHeidelberg This work is subject to copyright.All rights are reserved,whether the whole or part of the materialisconcerned,specifically the rightsof translation,reprinting,reuseof illustrations, recitation,broadcasting,reproductiononmicrofilmorinanyother way,andstorageindata banks.Duplicationofthispublicationorpartsthereofispermittedonlyundertheprovisionsof theGermanCopyrightLawofSeptember9,1965,initscurrentversion,andpermissionforuse mustalwaysbeobtainedfromSpringer.ViolationsareliabletoprosecutionundertheGerman CopyrightLaw. The use of general descriptive names,registered names,trademarks,etc.in thispublication doesnotimply,evenintheabsenceofaspecificstatement,thatsuchnamesareexemptfrom therelevantprotectivelawsandregulationsandthereforefreeforgeneraluse. Typeset&CoverDesign:ScientificPublishingServicesPvt.Ltd.,Chennai,India. Printedinacid-freepaper 987654321 springer.com Preface Logistics and supply chain management deal with managing the flow of goods or services within a company, from suppliers to customers, and along a supply chain where companies act as suppliers as well as customers. As transportation is at the heart of logistics, the design of traffic and transportation networks combined with the routing of vehicles and goods onthe networksare important and demanding planning tasks. The influence of transport, logistics, and sup- ply chain management on the modern economy and society has been growing steadily over the last few decades. The worldwide division of labor, the connec- tion of distributed productioncenters, and the increasedmobility of individuals lead to an increased demand for efficient solutions to logistics and supply chain management problems. On the company level, efficient and effective logistics and supply chain management are of critical importance for a company’s suc- cessanditscompetitiveadvantage.Properperformanceofthelogisticsfunctions can contribute both to lower costs and to enhanced customer service. Computational Intelligence (CI) describes a set of methods and tools that often mimic biological or physical principles to solve problems that have been difficult to solve by classical mathematics. CI embodies neural networks, fuzzy logic,evolutionarycomputation,localsearch,andmachine learningapproaches. Researchersthatworkinthisareaoftencomefromcomputerscience,operations research,ormathematics,aswellasfrommanydifferentengineeringdisciplines. Popular and successful CI methods for optimization and planning problems are heuristic optimization approaches such as evolutionary algorithms, local search methods, and other types of guided search methods. Such methods do not enu- merate all possible solutions but move “heuristically” through the search space searchingforsuperiorsolutions.Heuristicoptimizationapproachesmustbalance intensification,whichfocusesthesearchonhigh-qualitysolutions(exploitation), and diversification, which ensures that the search can escape from local optima and does not focus on small parts of the search space (exploration). The book at hand presents a careful selection of relevant applications of CI methods for transport, logistics, and supply chain management problems. The chapters illustrate the current state-of-the-art in the application of CI methods VI Preface inthesefieldsandshouldhelpandinspireresearchersandpractitionerstoapply anddevelopefficientmethods.Afewcontributionsinthisbookareextendedver- sions of papers presented at EvoTransLog2007: The First European Workshop on Evolutionary Computation in Transportation and Logistics which was held in Valencia, Spain, in 2007. The majority of contributions are from additional, specially selected researchers,who have done relevant work in different areas of transport,logistics,andsupply chainmanagement.The goalis to broadly cover representativeapplicationsinthesefieldsaswellasdifferenttypesofsolutionap- proaches.Ontheapplicationside,thecontributionsfocusondesignoftrafficand transportationnetworks,vehicle routing,andother importantaspects ofsupply chainmanagementsuchasinventorymanagement,lotsizing,andlotscheduling. On the method side, the contributions deal with evolutionary algorithms, local search approaches, and scatter search combined with other CI techniques such as neural networks or fuzzy approaches. The book is structured according to the application domains. Thus, it has three parts dealing with traffic and transportation networks, vehicle routing, and supply chain management. The majority of the contributions of Part I focus on road traffic in urban settings. The first contribution on “Combined Genetic Computation of Micro- scopic Trip Demand in Urban Networks” by T. Tsekeris, L. Dimitriou, and A. Stathopoulos presents an approach to predicting the expected trip demand in urban networks. A proper estimation of dynamic origin-destination demands is fundamental for all network design and routing decisions. The authors for- mulate the multi-objective problem and present an evolutionary computation approach combined with a microscopic simulation model for estimating the ex- pected traffic flow. The next two contributions focus on design of road networks. The chapter “Genetically Optimized Infrastructure Design Strategies in Degradable Trans- port Networks” by the same authors builds on their first contribution. The au- thors take the origin-destinationdemands as givenandformulate the stochastic equilibrium network design problem as a game-theoretic, combinatorial bi-level program. The design process of a transport network is considered as a game between the network designer and the network user. The system designer is the leader in a two-stage leader-follower Stackelberg game. He modifies the struc- ture of the road network to optimize the system performance, while the users are the followersreacting to alternative design plans. The options of the system designer are either to build new roads or to add additional lanes to existing roads.Tosolvethe problem,the authorsagaincombine evolutionaryalgorithms with simulation. The contribution “Genetic Algorithm for Constraint Optimal Toll Ring De- sign” by A. Sumalee focuses on designof toll rings.A toll ring is a ring of roads which encloses a specific area (e.g. city center) such that all vehicles travelling totheareamustusearoadthatispartofthe tollringatleastonce.Theauthor presents an evolutionary algorithm combined with a traffic simulator to find a Preface VII tollringsuchthatthebenefitsgainedlessthecostsofimplementingthetollring are maximized. The final contribution in the context of road networks “Real Time Iden- tification of Road Traffic Control Measures” by K. Almejalli, K. Dahal, and M.A.Hoasaindealswithcontrolofroadtraffic andpresentsasystemfordeter- miningappropriateroadtrafficcontroloptions.Theoptionsarechosenaccording to different traffic states. The performance of the control actions is determined bytraveltime,fuelconsumption,andaveragelengthoftrafficjams.Tosolvethe problem,the authorscombine severalCI approaches,namely fuzzy logic,neural networks, and evolutionary algorithms. The contribution “Simultaneous Airline Scheduling” by T. Grosche and F. Rothlauf forms the bridge between Part I and Part II of the book. It ad- dressesbothdesignoftransportationnetworksandroutingofvehicles(airplanes) onthosenetworks.The authorspresentanovelandintegratedapproachforair- line scheduling which allows airlines simultaneously to determine an optimal structure of the flight network, routing of the airplanes on the flight network, and scheduling of flights. The optimization goal is to maximize the revenue of an airline. Since the problem is too complex to be efficiently solved by classical optimizationmethods, differenttypes of heuristic optimizationmethods suchas evolutionary algorithms and threshold accepting are studied. Important for a highperformanceofthe heuristic optimizationmethods arethe properchoiceof the representation/operatorcombination,repairoperators,fitness function, and initial solution. PartIIofthe bookstartswiththreecontributionsonvehicleandarcrouting. Thecontribution“GRASPwithPathRelinkingfortheCapacitatedArcRouting ProblemwithTimeWindows”byN.Labadi,C.Prins,andM.Reghiouicombines several heuristic search approaches such as greedy randomized search, a tour- splitting algorithm which diversifies the search process, a local search, and an optional path relinking process to solve the undirected capacitated arc routing problemwithtimewindows.Theproposedapproachfindsnewoptimalsolutions for the problem and is as effective as state-of-the-art algorithms, while being significantly faster. The second contribution “A Scatter Search Algorithm for the Split Delivery Vehicle Routing Problem”by V. Campos,A.Corbera´n,andE.Mota dealswith a similar problem and presents a scatter search approach for vehicle routing problemswherethedemandsofclientscanbesplit,thismeansanyclientcanbe servedbymorethanonevehicle.Again,thecomputationalexperimentsindicate that the proposed heuristic results in similar performance to state-of-the-art methods. The third contribution on vehicle routing, “Stochastic Local Search Proce- duresfortheProbabilisticTwo-DayVehicleRoutingProblem”byK.F.Doerner, W. J. Gutjahr, R. F. Hartl, and G. Lulli, describes a vehicle routing problem where two types of service are provided: an urgent service that delivers within onedayandaregularservicethatneedstwodaysbutcomesatalowerprice.To exploit synergies in building the delivery tours regular orders may be delivered VIII Preface immediately(likeurgentservices).Assumingadynamic(online)problemsetting witharollingplanninghorizon,theproblemisformalizedasastochasticproblem andsolvedusinganapproachbasedonantcolonyoptimization. The contribution “The Oil Drilling Model and Iterative Deepening Genetic Annealing Algorithm for the Traveling Salesman Problem” by H. C. Lau and F.Xiaopresentsahybridapproach,whichimitatestheoildrillingprocess:Search takesplaceinmanyplaces(apopulationofcandidatesolutions)andeachplaceis evaluatedbydrilling(performingalocalsearch).Searchdiversificationismainly provided by genetic algorithm concepts, while simulated annealing is used for intensification by means of local search. In the course of the search process the population shrinks and the local search is intensified (drilling deeper). That is, the balance shifts from diversification to intensification. Results show that a propercombinationofintensificationanddiversificationelements outperformsa straightforward hybrid algorithm as well as using local or recombination-based search alone. The contribution “Online Transportation and Logistics Using Computation- ally Intelligent Anticipation” by P. A. N. Bosman and H. L. Poutr´e forms the bridge between Part II and Part III of the book. It discusses the importance of anticipation in online decision making and describes how CI can be used to de- sign approaches that perform anticipation. The proposed methods are designed suchthatthey learnfromthe consequencesofpreviousdecisions,whichleadsto anauto-adaptivedesign. The authors presenttwo applications:dynamic vehicle routing,whichassumesthattheloadstobetransportedareannouncedwhilethe vehiclesarealreadyenroute,andinventorymanagementwherehighercustomer satisfaction leads to an increased number of transactions. The final PartIII on supply chain managementstarts with a contribution on “Supply Chain Inventory Optimisation with Multiple Objectives: An Industrial CaseStudy”byL.Amodeo,H.Chen,andA.E.Hadji.Theauthorsoptimizesup- ply chain inventory policies using a multi-objective optimization approach that combines genetic algorithms with a Petri net-based simulation tool for perfor- manceevaluation.Inareal-worldstudy,theauthorsuseinventorycost,customer service level, and computation time as optimization goals. The contribution “Decomposition of Dynamic Single-Product and Multi- Product Lotsizing Problems and Scalability of EDAs” by J. Grahl, S. Minner, and F. Rothlauf shows that certain lotsizing problems are decomposable. Thus, such problems can be solved efficiently by evolutionary algorithms such as es- timation of distribution algorithms (EDA). A scalability analysis for EDAs on the dynamic single-product and multi-product lotsizing problem confirms ex- isting scalability theory and shows that solution effort grows with a low-order polynomial depending on the problem size. Thefinalcontribution“HybridGeneticAlgorithmsfortheLotProductionand Delivery Scheduling Problemin a Two-EchelonSupply Chain” by S. A. Torabi, M.Jenabi,andS.A.Mansouriconsidersasinglesupplierwhoproducesitemson a flexible flow line under a cyclic policy and delivers them directly to an assem- bly facility. The authors formulate the problem as a mixed zero-one nonlinear Preface IX programand minimize the averagesetup, inventory-holding,and delivery costs. For solving the problem, a hybrid approachis proposed which combines genetic algorithms and neighborhood search. Inclosingwewishtothankallauthorswhocontributedtothisbook.Without their workandpassion,this book would nothave been possible. In addition,we thank all reviewers for their help in improving the quality of the contributions in the book. We also want to thank Inka Lo¨lfer for proofreading parts of the book, as well as Jens Czogalla for helping with the technical preparation of some chapters. Last, but not least, we want to thank the editor of this book series, Janusz Kacprzyk, for making this book possible and Thomas Ditzinger who fully supported the project. Hamburg and Mainz (Germany) Andreas Fink March 2008 Franz Rothlauf Contents Part I: Traffic and Transport Networks Combined Genetic Computation of Microscopic Trip Demand in Urban Networks Theodore Tsekeris, Loukas Dimitriou, Antony Stathopoulos............. 3 Genetically Optimized Infrastructure Design Strategies in Degradable Transport Networks Loukas Dimitriou, Theodore Tsekeris, Antony Stathopoulos............. 23 Genetic Algorithm for Constraint Optimal Toll Ring Design Agachai Sumalee.................................................. 45 Real Time Identification of Road Traffic Control Measures Khaled Almejalli, Keshav Dahal, M. Alamgir Hossain.................. 63 Simultaneous Airline Scheduling Tobias Grosche, Franz Rothlauf ..................................... 81 Part II: Vehicle Routing GRASP with Path Relinking for the Capacitated Arc Routing Problem with Time Windows Nacima Labadi, Christian Prins, Mohamed Reghioui................... 111 A Scatter Search Algorithm for the Split Delivery Vehicle Routing Problem Vicente Campos, Angel Corbera´n, Enrique Mota ...................... 137