A Novel Model for the Synchromodal Hub Location Problem

Document Type : Research Paper

Authors

1 Ph.D. Candidate, Department of Industrial Engineering, Kish International Campus, University of Tehran, Tehran, Iran

2 Professor, School of Industrial Engineering, College of Engineering, University of Tehran, Tehran, Iran.

3 Assistant Professor, School of Industrial Engineering, College of Engineering, University of Tehran, Tehran, Iran.

Abstract

With advancements in technology and growing customer demand, the optimal design of hub networks in distribution systems, along with flow synchronization across the entire network, play a critical role in reducing costs and enhancing overall efficiency. These networks significantly contribute to optimizing delivery times and improving responsiveness to customer needs, particularly in the transportation of time-sensitive goods. This study develops a mixed-integer linear programming model for the synchromodal hub location problem. We synchronize the flow throughout the entire network, which consists of origin points, a sender hub, a receiver hub, and demand points. To replicate real-world conditions, we also consider the synchronization of product flow within the distribution hub distribution networks. The proposed model aims to minimize the total cost, which includes transportation costs, operational costs across the distribution network, fixed costs of establishing Hubs and deploying vehicles, and potential penalties incurred as a result of failures to meet customer demand in terms of quantity and timeliness. To aggregate long-, mid-, and short-term decisions, we examine several decisions across different time periods. These decisions include the incomplete hub location problem, the service network design problem involving the scheduling of all network nodes, the synchronization of shipment flows in an intermodal transportation system, as well as integration and sorting operations on all components of the hub distribution network. The model's performance is assessed using data from an actual case study in the Iranian food industry. We conduct various sensitivity analyses on key parameters of the problem and present the numerical findings.

Keywords

Main Subjects

References

  1. O'kelly, M.E., The location of interacting hub facilities. Transportation science, 1986. 20(2): p. 92-106.
  2. Campbell, J.F., Hub location and the p-hub median problem. Operations research, 1996. 44(6): p. 923-935.
  3. Campbell, J.F. and M.E. O'Kelly, Twenty-five years of hub location research. Transportation Science, 2012. 46(2): p. 153-169.
  4. Hoff, A., et al., Heuristics for the capacitated modular hub location problem. Computers & Operations Research, 2017. 86: p. 94-109.
  5. Campbell, J.F., et al., Solving hub arc location problems on a cluster of workstations. Parallel Computing, 2003. 29(5): p. 555-574.
  6. Campbell, J.F., Continuous and discrete demand hub location problems. Transportation Research Part B: Methodological, 1993. 27(6): p. 473-482.
  7. Taherkhani, G. and S.A. Alumur, Profit maximizing hub location problems. Omega, 2019. 86: p. 1-15.
  8. Basallo-Triana, M.J., C.J. Vidal-Holguín, and J.J. Bravo-Bastidas, Planning and design of intermodal hub networks: A literature review. Computers & Operations Research, 2021. 136: p. 105469.
  9. Campbell, J.F. Modeling economies of scale in transportation hub networks. in 2013 46th Hawaii International Conference on System Sciences. 2013. IEEE.
  10. Crainic, T.G. and K.H. Kim, Intermodal transportation. Handbooks in operations research and management science, 2007. 14: p. 467-537.
  11. Caris, A., C. Macharis, and G.K. Janssens, Decision support in intermodal transport: A new research agenda. Computers in industry, 2013. 64(2): p. 105-112.
  12. Crainic, T.G., G. Perboli, and M. Rosano, Simulation of intermodal freight transportation systems: a taxonomy. European Journal of Operational Research, 2018. 270(2): p. 401-418.
  13. Ullmert, T., S. Ruzika, and A. Schöbel, On the p-hub interdiction problem. Computers & Operations Research, 2020. 124: p. 105056.
  14. Mokhtarzadeh, M., et al., A hybrid of clustering and meta-heuristic algorithms to solve a p-mobile hub location–allocation problem with the depreciation cost of hub facilities. Engineering Applications of Artificial Intelligence, 2021. 98: p. 104121.
  15. Wandelt, S., et al., An efficient and scalable approach to hub location problems based on contraction. Computers & Industrial Engineering, 2021. 151: p. 106955.
  16. Bütün, C., S. Petrovic, and L. Muyldermans, The capacitated directed cycle hub location and routing problem under congestion. European journal of operational research, 2021. 292(2): p. 714-734.
  17. Kayışoğlu, B. and İ. Akgün, Multiple allocation tree of hubs location problem for non-complete networks. Computers & Operations Research, 2021. 136: p. 105478.
  18. Shang, X., et al., Distributionally robust cluster-based hierarchical hub location problem for the integration of urban and rural public transport system. Computers & Industrial Engineering, 2021. 155: p. 107181.
  19. Monemi, R.N., et al., Multi-period hub location problem with serial demands: A case study of humanitarian aids distribution in Lebanon. Transportation Research Part E: Logistics and Transportation Review, 2021. 149: p. 102201.
  20. Korani, E. and A. Eydi, Bi-level programming model and KKT penalty function solution approach for reliable hub location problem. Expert systems with applications, 2021. 184: p. 115505.
  21. Stokkink, P. and N. Geroliminis, A continuum approximation approach to the depot location problem in a crowd-shipping system. Transportation Research Part E: Logistics and Transportation Review, 2023. 176: p. 103207.
  22. Li, Z.-C., X. Bing, and X. Fu, A hierarchical hub location model for the integrated design of urban and rural logistics networks under demand uncertainty. Annals of Operations Research, 2023: p. 1-22.
  23. Rahmati, R., et al., Stochastic green profit-maximizing hub location problem. Journal of the Operational Research Society, 2024. 75(1): p. 99-121.
  24. Wu, T., Exact Method for Production Hub Location. INFORMS Journal on Computing, 2024.
  25. Li, H. and Y. Wang, Hierarchical multimodal hub location problem with carbon emissions. Sustainability, 2023. 15(3): p. 1945.
  26. Wang, S., S. Wandelt, and X. Sun, Stratified $ p $-Hub Median and Hub Location Problems: Models and Solution Algorithms. IEEE Transactions on Intelligent Transportation Systems, 2024.
  27. Li, L., et al., Intermodal transportation hub location optimization with governments subsidies under the Belt and Road Initiative. Ocean & Coastal Management, 2023. 231: p. 106414.
  28. Pourghader Chobar, A., H. Bigdeli, and N. Shamami, A Mathematical Model of Hub Location for War Equipment under Uncertainty Using Meta-Heuristic Algorithms. Journal of Industrial Engineering and Management Studies, 2024. 11(1): p. 62-83.
  29. Mohammadi, M., P. Jula, and R. Tavakkoli-Moghaddam, Reliable single-allocation hub location problem with disruptions. Transportation Research Part E: Logistics and Transportation Review, 2019. 123: p. 90-120.
  30. Motamedi, Z., et al., Scheduling of transportation fleet based on the customer’s priority in a hub location problem. Scientia Iranica, 2023.
  31. Domínguez-Bravo, C.-A., E. Fernández, and A. Lüer-Villagra, Hub location with congestion and time-sensitive demand. European Journal of Operational Research, 2024. 316(3): p. 828-844.
  32. Musavi, M. and A. Bozorgi-Amiri, A multi-objective sustainable hub location-scheduling problem for perishable food supply chain. Computers & Industrial Engineering, 2017. 113: p. 766-778.
  33. Khaleghi, A. and A. Eydi, Hybrid solution methods for a continuous-time multi-period hub location problem with time-dependent demand and sustainability considerations. Journal of Ambient Intelligence and Humanized Computing, 2024. 15(1): p. 115-155.
  34. Zhang, H., et al., Accelerating Benders decomposition for stochastic incomplete multimodal hub location problem in many-to-many transportation and distribution systems. International Journal of Production Economics, 2022. 248: p. 108493.
  35. K‌h‌a‌l‌e‌g‌h‌i, A. and A. E‌y‌d‌i, S‌U‌S‌T‌A‌I‌N‌A‌B‌L‌E M‌U‌L‌T‌I-P‌E‌R‌I‌O‌D H‌U‌B L‌O‌C‌A‌T‌I‌O‌N: A D‌Y‌N‌A‌M‌I‌C P‌R‌O‌G‌R‌A‌M‌M‌I‌N‌G A‌P‌P‌R‌O‌A‌C‌H. Sharif Journal of Industrial Engineering & Management, 2022. 38(1): p. 95-110.
  36. Roozkhosh, P. and N. Motahari Farimani, Designing a new model for the hub location-allocation problem with considering tardiness time and cost uncertainty. International Journal of Management Science and Engineering Management, 2023. 18(1): p. 36-50.
  37. Khalilzadeh, M., M. Ahmadi, and O. Kebriyaii, A Bi-Objective Mathematical Programming Model for a Maximal Covering Hub Location Problem Under Uncertainty. SAGE Open, 2025. 15(1): p. 21582440251324335.
  38. Rupp, J., N. Boysen, and D. Briskorn, Optimizing consolidation processes in hubs: The hub-arrival-departure problem. European Journal of Operational Research, 2022. 298(3): p. 1051-1066.
  39. Anderluh, A., V.C. Hemmelmayr, and P.C. Nolz, Synchronizing vans and cargo bikes in a city distribution network. Central European Journal of Operations Research, 2017. 25: p. 345-376.
  40. Karimi, H. and M. Setak, A bi-objective incomplete hub location-routing problem with flow shipment scheduling. Applied Mathematical Modelling, 2018. 57: p. 406-431.
  41. Masaeli, M., S.A. Alumur, and J.H. Bookbinder, Shipment scheduling in hub location problems. Transportation Research Part B: Methodological, 2018. 115: p. 126-142.
  42. Nolz, P.C., et al., Two-echelon distribution with a single capacitated city hub. EURO Journal on Transportation and Logistics, 2020. 9(3): p. 100015.
  43. Estrada, M., J. Mension, and M. Salicrú, Operation of transit corridors served by two routes: Physical design, synchronization, and control strategies. Transportation Research Part C: Emerging Technologies, 2021. 130: p. 103283.
  44. Elbert, R., J. Rentschler, and J. Schwarz, Combined hub location and service network design problem: A case study for an intermodal rail operator and structural analysis. Transportation Research Record, 2023. 2677(1): p. 730-740.
  45. Giusti, R., D. Manerba, and R. Tadei, Multi-period transshipment location-allocation problem with stochastic synchronized operations. Networks (to appear), 2020.
  46. Crainic, T.G., et al., The synchronized location-transshipment problem. Transportation Research Procedia, 2021. 52: p. 43-50.
  47. Guo, P., F. Weidinger, and N. Boysen, Parallel machine scheduling with job synchronization to enable efficient material flows in hub terminals. Omega, 2019. 89: p. 110-121.
  48. Luo, H., X. Yang, and K. Wang, Synchronized scheduling of make to order plant and cross-docking warehouse. Computers & Industrial Engineering, 2019. 138: p. 106108.
  49. Wu, X.B., et al., Synchronizing time-dependent transportation services: Reformulation and solution algorithm using quadratic assignment problem. Transportation Research Part B: Methodological, 2021. 152: p. 140-179.
  50. Kara, B.Y. and B.Ç. Tansel, The latest arrival hub location problem. Management Science, 2001. 47(10): p. 1408-1420.
  51. Tan, P.Z. and B.Y. Kara, A hub covering model for cargo delivery systems. Networks: An International Journal, 2007. 49(1): p. 28-39.
  52. Yaman, H., B.Y. Kara, and B.Ç. Tansel, The latest arrival hub location problem for cargo delivery systems with stopovers. Transportation Research Part B: Methodological, 2007. 41(8): p. 906-919.
  53. Giusti, R., et al., The synchronized multi-commodity multi-service Transshipment-Hub Location Problem with cyclic schedules. Computers & Operations Research, 2023. 158: p. 106282.
  54. Meraklı, M. and H. Yaman, A capacitated hub location problem under hose demand uncertainty. Computers & Operations Research, 2017. 88: p. 58-70.
  55. Ebery, J., et al., The capacitated multiple allocation hub location problem: Formulations and algorithms. European journal of operational research, 2000. 120(3): p. 614-631.
  56. Ogazón, E., A.M. Anaya-Arenas, and A. Ruiz, The time-definite hub line location problem. Socio-Economic Planning Sciences, 2025. 98: p. 102185.
Advances in Industrial Engineering
Volume 59, Issue 2
December 2025
Pages 215-240

Files

Share

How to cite

Statistics