The Multi-period Petrol Station Replenishment Problem

Formulation and Solution Methods

Conference paper (2020)

Authors

Luke Boers Student
B. Atasoy Transport Engineering and Logistics - Mechanical, Maritime and Materials Engineering
Gonçalo Correia Transport and Planning - CEG
R.R. Negenborn Transport Engineering and Logistics - Mechanical, Maritime and Materials Engineering
Research Group
Transport Engineering and Logistics (Mechanical, Maritime and Materials Engineering) (TU Delft)
Copyright: © 2020 Luke Boers, B. Atasoy, Gonçalo Correia , R.R. Negenborn
DOI: https://doi.org/10.1007/978-3-030-59747-4_39
Inventory routing Decomposition heuristic Petrol Station Replenishment Simultaneous dry run inventory policy
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Published Date

2020

Language

English

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Faculty

Mechanical, Maritime and Materials Engineering

Department

Marine and Transport Technology

Research Group

Transport Engineering and Logistics

Abstract

We present a “rich” Petrol Station Replenishment Problem (PSRP) with real-life characteristics that represents the complexities involved in actual operations. The planning is optimised over multiple days and therefore, the new variant can be classified as the Multi-Period Petrol Station Replenishment Problem (MP-PSRP). A Mixed Integer Linear Programming (MILP) formulation is developed and a decomposition heuristic is proposed as a solution algorithm, which is evaluated with a case study from a real-life petrol distributor in Denmark. To determine delivery quantities, the heuristic uses the newly introduced simultaneous dry run inventory policy. A procedure is applied to improve the initial solution. A commercial solver is able to find feasible solutions only for instances with up to 20 stations and 7 days for the MILP model where optimality is guaranteed for instances up to 10 stations and 5 days. The heuristic on the other hand provides feasible solutions for the full case study of 59 stations and 14 days, within a time limit of 2 h.