Article ID: | iaor20104295 |
Volume: | 6 |
Issue: | 4 |
Start Page Number: | 362 |
End Page Number: | 379 |
Publication Date: | May 2010 |
Journal: | International Journal of Logistics Systems and Management |
Authors: | Min Hokey, Guo Zijian |
Keywords: | containers |
Given the importance of containerisation to creating successful global supply chain operations, this paper proposes an equilibrium model that can not only minimise the total container transportation cost for a shipper, but also maximise the total profit accrued from container transportation services offered by a carrier. The proposed model combines game theory with a Genetic Algorithm (GA) to promote a compromise between the conflicting interests of the carrier and the shipper, while optimally balancing the shipper's desire to contain cost against the carrier's desire to increase profit. To verify the usefulness of the proposed model, we applied it to the container transportation network design problem from the perspectives of multiple stakeholders including Chinese container port authorities.