A GRASP-Tabu heuristic approach to territory design for pickup and delivery operations for large-scale instances (Q1992783)

Summary: We address a logistics districting problem faced by a parcel company whose operations consist of picking up and delivering packages over a service region. The districting process aims to find a partition of the service region into delivery and collection zones that may be served by a single vehicle that departs from a central depot. Criteria to be optimized are to balance workload content among the districts and to create districts of compact shape. A solution approach based on a hybrid procedure that combines elements of GRASP and Tabu Search (TS) is proposed to solve large-scale instances. Numerical experimentation is performed considering different instance sizes and types. Results show that the proposed solution approach is able to solve large-scale instances in reasonable computational times with good quality of the solutions obtained. To determine the quality of the solutions, results are compared with CPLEX solutions and with the current real solution to highlight the benefits of the proposed approach. Conclusions and recommendations for further research are provided.