Envy-based Parcel Delivery Workload Balancing Problem Considering Drivers Stated Preferences

This paper proposes a methodology for allocating courier workloads to courier drivers in a digital-based courier platform with heterogeneous user characteristics. The framework proposed in this paper is inspired by the envy-free cake-cutting problem, which captures the individual-level unfairness arising from the preferences of heterogeneous drivers. In this study, we incorporate this unfairness characteristic and stated preferences data into an optimization model, which we call the envy-based workload balancing vehicle routing problem (EWB-VRP). The objective of this optimization model is to assign delivery zones by explicitly considering drivers' income, workload, and preferences. Compared to existing models, our results show that our model significantly reduces envy among drivers while keeping travel times close to the system optimum. Our proposed research framework has the potential to improve the overall fairness of the courier logistics sector by incorporating individual preferences and drivers' skills in choosing efficient routes.