Design of hybrid multimodal logistic hub network with postponement strategy

Abstract

This paper aims at suggesting a method allowing to design a logistic hub network in the context of postponement strategy, postponement being performed in hubs having industrial facilities in addition to logistic ones. We propose a two-stage mathematical mixed integer linear programming model for: 1) logistic hub network design 2) postponement location on the designed hub network. The suggested model manages characteristics not yet taken into account simultaneously in the literature: hierarchical logistic structure, postponement strategy, multi-commodity, multi-packaging of goods (raw materials or components vs. final products), multi-period planning. The solutions are compared through services levels and logistic costs.