A Model for Vehicle Routing Problem for Multi-Temperature Joint Distribution System with Carbon Emission Constraints

Abstract

This paper aims to study the optimal location and vehicle routing problem in Multi-Temperature Joint Distribution System. We have constructed a food cold chain model that takes into account the carbon emissions into its objective function. The proposed model simultaneously minimizes logistic costs and environmental impacts of carbon emissions by providing a bi-objective binary integer- programming model. What's more, a numerical example are presented to verified the validity of the model. The result indicate that this model is feasible for the optimal location and vehicle routing problem. This model contributes to decision makers to find the best Pareto Optimal solutions in Multi-Temperature Joint Distribution System according to their preference. Nowadays, customers, governments, companies, non- profit and profit organizations, all of them are very concerned about the problem of climate change and environmental protection. Sustainable and green development is an inevitable trend for the economic in the future. Environmental issues can also impact on numerous logistical decisions throughout the supply chain such as location, sourcing of raw material, modal selection, and transport planning, among others (1). In this case, sustainable and green supply chain management is a high topic in supply chain management area. Therefore, it is necessary for designing and operating of supply chain with the targets in decreasing carbon emissions and other environmental metrics. The food cold chain involves to the safety levels and quality of food. Through the control and monitor of temperature, the cold chain can reduce the rate of degradation of food, maintain the freshness of food. Multi-Temperature Joint Distribution System (MTJD) was presented by Kuo (2). It was developed by the Energy and Resource Laboratory, Industrial Technology Research Institute in Taiwan (3). This method is a technique to transport and storage of food in multi-products and multi- temperature cold logistics, which could realize the optimal temperature control for all kinds of perishable foods with different temperature requirements. MTJD through using a replaceable cold accumulation and insulated box (cold box), dividing a vehicle compartment into several zones to storage different foods whose optimal preserving temperature is different. Due to the demand for various kinds of food in retailer, MTJD will have a great application value on routes between hubs and retailers in logistics. This paper aims to study the optimal location and vehicle routing problem in MTJD. We have constructed a food cold chain model that takes into account the carbon emissions into its objective function. The proposed model simultaneously minimizes logistic costs and environmental impacts of carbon emissions by providing a bi-objective binary integer-programming model. We hope that through this model to help decision makers to find the best Pareto Optimal solutions in MTJD. The rest of the paper is structured as follows: Section 2 we review some of relevant current studies in food cold chain and in multi-temperature joint distribution. Section 3 describes the problem modeling and the formulation of the binary integer programming model. Section 4 introduces the solution method. Section 5 presents a numerical example to illustrate the application and results of the proposed model. Finally, Section 6 concludes our main findings and offer some suggestions for future studies.