Integrated production and intermodal transportation planning in large scale production-distribution-networks

We present a model and solution approach for combining production and intermodal transportation planning in a supply network. A close and detailed integration of both decision fields is missing in the literature so far. The model includes relevant decisions regarding production setups and output volumes of plants, cargo consolidation at intermodal terminals, and capacity bookings for road and rail transports. A Branch-and-Cut method and heuristics are designed for solving the problem. A comprehensive case study for a chemical company identified a 6%-cost saving from the integrated planning. At the same time, companies are successfully supported in establishing eco-friendly distribution processes.