Analyses on the Effects of Time Windows Choices on Sustainable Vehicle Allocation Problems

Abstract

This study aims to analyze the effects of the time windows choices in Vehicle Allocation Problems with respect to economic, social, and environmental indicators. As far as we know, such an attempt does not exist in the related literature. For this purpose, we first present a Mixed Integer Programming model for a generic Vehicle Allocation Problem with profit maximization objective under time windows constraints. This model is used to conduct analyses for demonstrating the applicability of the model in practice and to reveal potential effects of the time windows choices on economic, social, and environmental outcomes of allocation decisions in Vehicle Allocation Problems. The numerical results show that loosened time windows have the potential to provide economic and environmental benefits in the addressed problem. We also propose a collaboration policy attractive to both the transportation company and its customers through price discounts, which improves economic and social performances of the addressed transportation logistics network.