Abstract
In this paper, we consider a real-life heterogeneous fleet vehicle routing problem for retail construction material stores. A modified cluster first-route second algorithm is deployed to fit a real-life problem. In cluster first, the clusters of customers compatible with vehicle capacity are grouped together. In route second, the mathematical model is developed and solved by General Algebraic Modeling Systems (GAMS). The case study of a retail construction store in Thailand is considered in this paper. The company is assumed to have 5 types of vehicles and the number of available vehicles of each type. There are 40 customers with difference demands to deliver construction materials. The objective is to minimize the total transportation costs. The number of available vehicles of each type is assumed to be limited. The results show that customers are divided into 9 clusters. One vehicle is used per cluster. The total cost is calculated as $138.04.
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