Modelling logistic decisions of firms and carriers

Abstract

Due to the rapid increase of freight transport, more attention is paid to the modelling of future freight flows. This paper focuses on the logistic decisions made within freight transportation models. Two main logistic decisions are highlighted. The first one is the choice of an appropriate inventory level and transport mode, made by the firm responsible for the transport. For this problem most authors refer to the inventory-theoretic approach. The second item is the order request selection process performed by the carrier to maximize his profit. This problem may be formulated in the form of a pickup and delivery selection problem.