Article ID: | iaor20082667 |
Country: | United States |
Volume: | 37 |
Issue: | 4 |
Start Page Number: | 334 |
End Page Number: | 341 |
Publication Date: | Jul 2007 |
Journal: | Interfaces |
Authors: | Krishnamoorthy Mohan, Ernst Andreas T., Kilby Philip, Horn Mark, Degenhardt Phil, Moran Michael |
Keywords: | networks: flow, programming: assignment, vehicle routing & scheduling |
Tourism Holdings Limited (THL), with 14 locations in Australia and New Zealand, operates a fleet of approximately 4,000 recreational rental vehicles of many types. It allocates vehicles to bookings centrally. If demand for a particular vehicle type at a location exceeds supply, THL may substitute vehicles of similar types or relocate vehicles from other locations to the location that needs the vehicles. The static problem that THL faces daily is to determine a vehicle schedule that minimizes the tangible and intangible costs of such substitutions and relocations. The dynamic problem is to determine – sometimes as the customer waits – whether a vehicle will be available to cover a potential booking and to incorporate that booking into the schedule. The Commonwealth Scientific and Industrial Research Organisation (CSIRO) has researched, developed, and supplied software, VASS and D-VASS, to solve the static and dynamic aspects of THL’s schedule creation and maintenance. This paper describes the THL problem, the systems that CSIRO implemented, and how THL embedded these systems into its operations.