Optimization of Transportation Problem in Dynamic Logistics Network

Purpose - Finding an optimal path is an essential component for the design and operation of smart transportation or logistics network. Many applications in navigation system assume that travel time of each link is fixed and same. However, in practice, the travel time of each link changes over time. In this paper, we introduce a new transportation problem to find a latest departing time and delivery path between the two nodes, while not violating the appointed time at the destination node. Research design, data, and methodology - To solve the problem, we suggest a mathematical model based on network optimization theory and a backward search method to find an optimal solution. Results - First, we introduce a dynamic transportation problem which is different with traditional shortest path or minimum cost path. Second, we propose an algorithm solution based on backward search to solve the problem in a large-sized network. Conclusions - We proposed a new transportation problem which is different with traditional shortest path or minimum cost path. We analyzed the problem under the conditions that travel time is changing, and proposed an algorithm to solve them. Extending our models for visiting two or more destinations is one of the further research topics.