Abstract
Optimization of vehicle speed during transportation has been an essential concern since it leads to reduction in carbon emission which decreases negative consequences on environment. This paper optimizes the vehicle speed for batches being shipped to customers to minimize the supply chain cost under uncertain demand and to reduce the carbon emissions. The problem of regulating the speed at each stage is disintegrated into a set of subproblems. They can be easily dealt with first approximating by dynamic programming formulation. Then a set of differential equations associated with total costs can be obtained from the formulation and solved. Furthermore, a numerical case study related to truck transportation is provided to realize the advantages of varying speed policy over fixed speed policy.
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