Article ID: | iaor20081059 |
Country: | United Kingdom |
Volume: | 42 |
Issue: | 6 |
Start Page Number: | 445 |
End Page Number: | 472 |
Publication Date: | Nov 2006 |
Journal: | Transportation Research. Part E, Logistics and Transportation Review |
Authors: | Sheu Jiuh-Biing |
Keywords: | allocation: resources, fuzzy sets, programming: dynamic, urban affairs |
This paper presents a dynamic customer group-based logistics resource allocation methodology for the use of demand-responsive city logistics distribution operations. The proposed methodology is developed based on the following five developmental procedures, including: (1) specification of demand attributes, (2) customer grouping, (3) customer group ranking, (4) container assignment, and (5) vehicle assignment. The numerical results show that the model permits managing both the time-varying customer order data and logistics resources dynamically with the goal of optimal logistics resource allocation. Particularly, both the aggregate operational costs and average lead time are reduced by 27.4% and 8.7%, respectively, in a case study.