Lab 5 - Networks: Vehicle Routing Problem (VRP)

If you have ever wondered about the logistics of school bus pick-up/drop-off scheduling, delivery of mail, solid waste pick-up, and/or produce re-stocking at supermarkets -- then you have thought about vehicle routing problem (VRP). VRP is one of the most complex optimization analysis performed using GIS (Zandbergen). It is a multifaceted algorithm capable of producing multi-solutions in the fields of transportation, distribution, and logistics to accommodate complex scenarios, variables, and constraints.

For our lab assignment, we performed a VRP analysis (using ArcGIS's Network Analyst Extension) to create optimized routes for a day's worth of pick-ups by a trucking company with one distribution center in South Florida.

After specifying some parameters, such as time-frame windows to meet the customers' demands and the distribution center drop-off, overriding assigned zones, no U-turns, and more, the VRP was solved.

In a day’s worth of work, 128 distinct customers were serviced punctually by 16 truck drivers. The truck drivers did a great job at picking-up a total of 269 items, and revenuing $33,625.00 from it. The trucking company efficiently minimized costs by only utilizing 16 out of 22 vehicles, while still serving all orders in a timely fashion, to and fro point of destination to home base (depot - distribution center). This solution improved customer service by meeting all deadlines and standards, as expected by the clientele.

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