Abstract

This paper will address Vehicle Routing Problem with Time Windows (VRPTW) for single product. VRPTW is developed from its basic model called by Vehicle Routing Problem (VRP). VRP is utilized to determine route with minimum cost from depot to costumer which is spreading out of location with certain demand. In one way route must be end and start in depot. In one way route should not exceeded more than its vehicle capacity. This paper has two fold: first, modelling the algorithm of VRP with Time Windows constraint using Mixed Integer Linear Programming (MILP), and second development of Cross Entropy (CE) Algorithm to solve VRP. Algorithm will run with computational experiment Lingo 11 version for MILP and Matlab R201b for CE Algorithm. Then we will compare the result from computational experiment from both MILP and CE. Computational from CE results the initial solution almost the same from computational result for Exact Method (MILP).

Highlights

  • In nowadays, companies must have marketing strategy to face the global competition

  • There is method called by Traveling Salesman Problem (TSP) which is can help to determine vehicle route to distribute product from depot to customer and it has objective function to minimize total cost considered by any constraint

  • Some approaching such as genetic algorithm (GA), cross entropy (CE), particle swarm optimization (PSO), and ant colony optimization (ACO) can be used for solving problem combinatorial optimization

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Summary

Introduction

Companies must have marketing strategy to face the global competition. The goal of companies is enhancing the profit by increasing their product sales. There is method called by Traveling Salesman Problem (TSP) which is can help to determine vehicle route to distribute product from depot to customer and it has objective function to minimize total cost considered by any constraint. VRP can be defined as solving problem to determine route with minimum cost from depot to customers which is their location is spreading out with various total demand [2]. This can be happened in order to make service level in determining distribution route be effective and efficient Another reason is able to enhance company’s performance in order to meet product demand, there is customer satisfying increasing. Some metaheuristics method have been proposed for the VRP [7] Some approaching such as genetic algorithm (GA), cross entropy (CE), particle swarm optimization (PSO), and ant colony optimization (ACO) can be used for solving problem combinatorial optimization.

Model for Vehicle Routing Problem Using Sweep Algorithm
Numerical Example and Computational Experiment
Mixed Integer Linear Programming
Cross Entropy Algorithm
Conclusion
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