Ferry service network design under demand uncertainty

Hong K. Lo, Kun An, Wei Hua Lin

Research output: Contribution to journalArticle

29 Citations (Scopus)

Abstract

This paper develops a formulation for ferry service network design with stochastic demand via the notion of service reliability (SR). The problem is formulated as a two-phase stochastic program in which the schedule of regular and ad hoc services are derived sequentially. An example is presented to illustrate the formulation. We then apply the proposed method to the case of ferry network design in Hong Kong. In terms of solution quality and computational efficiency, the SR-based approach shows promising results as compared with existing methods. Moreover, the approach leads to substantial cost savings as compared with deterministic methods under demand uncertainty.

Original languageEnglish (US)
Pages (from-to)48-70
Number of pages23
JournalTransportation Research Part E: Logistics and Transportation Review
Volume59
DOIs
StatePublished - Nov 2013

Fingerprint

uncertainty
demand
Computational efficiency
savings
Costs
Hong Kong
efficiency
Uncertainty
Demand uncertainty
Network design
costs
Ad hoc
Cost savings
Schedule
Stochastic demand

Keywords

  • Service reliability
  • Stochastic demand
  • Transport network design

ASJC Scopus subject areas

  • Business and International Management
  • Management Science and Operations Research
  • Transportation

Cite this

Ferry service network design under demand uncertainty. / Lo, Hong K.; An, Kun; Lin, Wei Hua.

In: Transportation Research Part E: Logistics and Transportation Review, Vol. 59, 11.2013, p. 48-70.

Research output: Contribution to journalArticle

@article{0f6942922518452ab10ca5f8b4589444,
title = "Ferry service network design under demand uncertainty",
abstract = "This paper develops a formulation for ferry service network design with stochastic demand via the notion of service reliability (SR). The problem is formulated as a two-phase stochastic program in which the schedule of regular and ad hoc services are derived sequentially. An example is presented to illustrate the formulation. We then apply the proposed method to the case of ferry network design in Hong Kong. In terms of solution quality and computational efficiency, the SR-based approach shows promising results as compared with existing methods. Moreover, the approach leads to substantial cost savings as compared with deterministic methods under demand uncertainty.",
keywords = "Service reliability, Stochastic demand, Transport network design",
author = "Lo, {Hong K.} and Kun An and Lin, {Wei Hua}",
year = "2013",
month = "11",
doi = "10.1016/j.tre.2013.08.004",
language = "English (US)",
volume = "59",
pages = "48--70",
journal = "Transportation Research, Part E: Logistics and Transportation Review",
issn = "1366-5545",
publisher = "Elsevier Limited",

}

TY - JOUR

T1 - Ferry service network design under demand uncertainty

AU - Lo, Hong K.

AU - An, Kun

AU - Lin, Wei Hua

PY - 2013/11

Y1 - 2013/11

N2 - This paper develops a formulation for ferry service network design with stochastic demand via the notion of service reliability (SR). The problem is formulated as a two-phase stochastic program in which the schedule of regular and ad hoc services are derived sequentially. An example is presented to illustrate the formulation. We then apply the proposed method to the case of ferry network design in Hong Kong. In terms of solution quality and computational efficiency, the SR-based approach shows promising results as compared with existing methods. Moreover, the approach leads to substantial cost savings as compared with deterministic methods under demand uncertainty.

AB - This paper develops a formulation for ferry service network design with stochastic demand via the notion of service reliability (SR). The problem is formulated as a two-phase stochastic program in which the schedule of regular and ad hoc services are derived sequentially. An example is presented to illustrate the formulation. We then apply the proposed method to the case of ferry network design in Hong Kong. In terms of solution quality and computational efficiency, the SR-based approach shows promising results as compared with existing methods. Moreover, the approach leads to substantial cost savings as compared with deterministic methods under demand uncertainty.

KW - Service reliability

KW - Stochastic demand

KW - Transport network design

UR - http://www.scopus.com/inward/record.url?scp=84884584352&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84884584352&partnerID=8YFLogxK

U2 - 10.1016/j.tre.2013.08.004

DO - 10.1016/j.tre.2013.08.004

M3 - Article

AN - SCOPUS:84884584352

VL - 59

SP - 48

EP - 70

JO - Transportation Research, Part E: Logistics and Transportation Review

JF - Transportation Research, Part E: Logistics and Transportation Review

SN - 1366-5545

ER -