Two-Echelon Location–Routing Problem of Perishable Products Based on the Integrated Mode of In-Store Pick-Up And Delivery

Abstract

The integrated service mode of in-store pick-up and delivery has become common in the post-epidemic period owing to the combined online and offline purchases of perishable products. This study investigates the diverse requirements of in-store pick-up and delivery customers. Then, it establishes a two-echelon location–routing model for a perishable food distribution network to minimize total cost as an objective. An adaptive large neighborhood search (ALNS) algorithm was also developed to solve the foregoing problem. To test the algorithm, instances from those of Solomon are derived. The proposed ALNS algorithm was found to achieve satisfactory performance with respect to speed and accuracy by comparing its results with those of the CPLEX software for a 12-node small-scale instance. The applicability and stability of the ALNS algorithm were further verified using different types of instances with more nodes. Different proportions of in-store pick-up and delivery customers were set, and the total cost of location–routing schemes under these proportions was compared. The results show that an integrated service type compared with the single delivery service mode and single in-store pick-up service mode can save 7.98% and 11.44% of the total cost, respectively.