Freight Flow Assignment in the Intermodal Logistics Network

Abstract

Intermodal logistics networks have received increased attention from researchers in recent decades. The growing importance of strategic supply chain management in light of issues such as road congestion, environmental concerns, and traffic safety is forcing firms to revise traditional freight transportation. As a result, the study of intermodal logistic service development has become urgent for multiple branches of science. This work is focused on the mathematical model of the freight flow assignment problem under auction equilibrium. We formulate this model as a non-linear optimization problem and show that its solution corresponds to the equilibrium assignment pattern in an intermodal logistics network. The developed model can be applied for long-term planning and management since its basic assumption is that in the long run, the activities carried out by shippers are in equilibrium. The findings of the paper contribute to the theory of transportation and can give fresh managerial insights for engineers.