Abstract
The multi-level location routing problem (MLLRP) is an extension of the capacitated location routing problem (CLRP). MLLRPs are considered a class of combinatorial optimization problems that arise in transportation applications, such as agricultural logistic planning. Along with concerns regarding the environmental harmfulness, recent studies have considered “green” logistics. This paper addressed a low environmental impact model for MLLRP by considering characteristics, emissions, and traffic congestion that have not appeared in the recent literature. The mathematical model was formulated to deal with a reverse flow problem, which was a real case that occurs in Thailand agriculture. We developed a hybrid metaheuristic algorithm to solve the MLLRP by integrating a variable neighborhood search (VNS) with an adaptive large neighborhood search (ALNS). The experimental results shown that the hybrid algorithm had clear advantages in the time consumption and quality of the solution. The extended study indicated that the proposed algorithm obtained competitive results compared with the previously published methods. The proposed practice is useful not only for the agricultural industry but also for other industries.
Highlights
The palm oil industry is one of the most important industries in the world
The results indicated that variable neighborhood search (VNS) improved several best-known solutions in term of quality and runtime
The traditional LRP focuses on transportation cost minimization that depends on distance; this study focuses on emission costs that vary by fuel consumption
Summary
The palm oil industry is one of the most important industries in the world. The Southeast Asia region is crucial for global palm oil production. In 2018, there were 70.6 million tons of palm oil production globally. Indonesia and Malaysia produced 39.5 and 19.7 million tons of crude palm oil, respectively, and both countries combined produced 83.8% of the global production. The world’s third largest producer, produced approximately 2 million tons per year or 1.2% of the crude oil production in the world.[1] As the world has focused on alternative renewable energy sources, such as biodiesel production, to replace the energy from fossil fuels, oil palm plays an important role as a renewable energy plant product used in biodiesel production
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