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Long-Term Consequences of Depot Decisions for the Inventory Routing Problem

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Operations Research Proceedings 2016

Part of the book series: Operations Research Proceedings ((ORP))

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Abstract

The article describes our work on an extension of the Inventory Routing Problem (IRP). While the basic formulation of the IRP combines delivery volume with vehicle routing decisions, and thus includes tactical and operative aspects, we here consider the strategic placement of the depot, also. In some first experiments, the effect of such a strategic decision on the inventory levels and routing costs in the supply chain is studied. Besides, potential improvements, i.e., savings in transportation costs are investigated. Our findings indicate that efficiency improvements are indeed achievable by extending the problem formulation towards the strategic planning level.

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References

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Author information

Authors and Affiliations

  1. Helmut-Schmidt University, Holstenhofweg 85, 22043, Hamburg, Germany

    Sandra Huber & Martin Josef Geiger

Authors
  1. Sandra Huber
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  2. Martin Josef Geiger
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Corresponding author

Correspondence to Sandra Huber .

Editor information

Editors and Affiliations

  1. Institute of Computer Science, Helmut Schmidt University, Institute of Computer Science, Hamburg, Germany

    Andreas Fink

  2. Applied Mathematics, Helmut Schmidt University, Applied Mathematics, Hamburg, Germany

    Armin Fügenschuh

  3. Institute of Logistics and Organization, Helmut Schmidt University, Institute of Logistics and Organization, Hamburg, Germany

    Martin Josef Geiger

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Huber, S., Geiger, M.J. (2018). Long-Term Consequences of Depot Decisions for the Inventory Routing Problem. In: Fink, A., Fügenschuh, A., Geiger, M. (eds) Operations Research Proceedings 2016. Operations Research Proceedings. Springer, Cham. https://doi.org/10.1007/978-3-319-55702-1_51

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