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Two-Stage Stochastic Integer Programming Model for Multiperiod Sea Cargo Mix Problem in Container Shipping Industry

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4 Author(s)
Ang, J.S.K. ; Bus. Sch., Nat. Univ. of Singapore, Singapore ; Chengxuan Cao ; Parlar, M. ; Heng-Qing Ye

In this paper, we consider the cargo mix problem under uncertainty in the container shipping industry. We seek to determine the optimal cargo mix in a multiperiod planning horizon with the objective of maximizing the total expected profit derived from all freight bookings received in the planning horizon. We present a two-stage stochastic integer programming model and propose a heuristic algorithm for multiperiod sea cargo mix problem under uncertainty. Finally, numerical experiments on a wide range of randomly generated problem instances are conducted to demonstrate the efficiency of the algorithm.

Published in:

Systems, Man and Cybernetics, Part A: Systems and Humans, IEEE Transactions on  (Volume:39 ,  Issue: 2 )

Date of Publication:

March 2009

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