A hybrid algorithm for a vehicle routing problem with realistic constraints

Proliferation of multi-national corporations and extremely competitive business environments have led to an unprecedented demand for third-party logistics services. However, recent studies on the vehicle routing problem (VRP) have considered only simple constraints. They also do not scale well to real-world problems that are encountered in the logistics industry. In this paper, we introduce a novel vehicle routing problem with time window and pallet loading constraints; this problem accounts for the actual needs of businesses in the logistics industry such as the delivery of consumer goods and agricultural products. To solve this new VRP, we propose a hybrid approach by combining Tabu search and the artificial bee colony algorithm. A new benchmark data set is generated to verify the performance of the proposed algorithm because the proposed VRP has never been reported in the literature. Experiments are performed for a data set of Solomon's 56 vehicle routing problem with time windows. Our approach is superior to a number of other heuristic algorithms in a comparison on Solomon's VRPTW instances.