Title: A multi-scenario model for empty container repositioning with uncertain demand

Authors: Massimo Di Francesco; Michela Lai; Paola Zuddas

Addresses: Department of Mathematics and Computer Science, University of Cagliari, Via Ospedale 72, 09123, Cagliari, Italy ' Department of Mathematics and Computer Science, University of Cagliari, Via Ospedale 72, 09123, Cagliari, Italy ' Department of Mathematics and Computer Science, University of Cagliari, Via Ospedale 72, 09123, Cagliari, Italy

Abstract: This paper investigates the maritime repositioning of empty containers when their demand is uncertain. It involves moving empty containers from import-dominant ports to export-dominant ports in anticipation of future demands. In order to consider demand uncertainty, the problem is addressed by a stochastic programming approach, in which different scenarios are included in a multi-scenario optimisation model and explicitly linked by non-anticipativity conditions. Numerical experiments are carried out to show which benefits are obtained by multi-scenario solutions with respect to their deterministic counterparts, which consider only one point forecast for each uncertain parameter.

Keywords: maritime transport services; operations management; scenarios; empty container repositioning; optimisation modelling; stochastic programming; empty containers; uncertain demand; ports; shipping containers; demand uncertainty.

DOI: 10.1504/IJSOM.2014.065333

International Journal of Services and Operations Management, 2014 Vol.19 No.2, pp.212 - 228

Published online: 31 Oct 2014 *

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