• Title of article

    On determiningoptimalfleetsizeandvehicletransferpolicyforacarrentalcompany

  • Author/Authors

    Zhaolin Li، نويسنده , , Fengtao Chen، نويسنده ,

  • Issue Information
    ماهنامه با شماره پیاپی سال 2010
  • Pages
    10
  • From page
    341
  • To page
    350
  • Abstract
    This paperconsidershowtodeterminetheoptimalfleetsizeandvehicletransferpolicyforarental-car company thatservestwocities.Ineachcity,therearesingle-tripandround-tripcustomers,wherethe former isgivenahigherpriority.Becauseofthesingle-triptraffic,thenumberofcarsatthesetwocities may becomeunbalanced.Hence,thecentralplannerineachdayneedstodecidewhethertotransfer any carsfromonecitytotheother.Wedevelopatwo-stagedynamicprogrammingmodel,inwhichwe determine thevehicletransferpolicyinthesecondstageandtheoptimalfleetsizeinthefirststage. Although theobjectivefunctioncouldbeneitherconcavenorquasi-concaveduetolostsales,wecan find theoptimalfleetsizeandvehicletransferpolicybysolvingaseriesoflinearprogrammingproblems. We proposeaheuristicsolution,whichisbasedonaspecialcaseanalysis,forthefleetsizeproblem.A numerical studyrevealsthatourheuristicsolutionforthefleetsizeperformswell.However,ifthecor- responding vehicletransferpolicyisnotappropriate,theoverallperformancecandrasticallydeteriorate even withtheoptimalfleetsize.Severalextensionsofourbasicmodelarealsoanalyzed.
  • Keywords
    Automobile rental , Fleet size management , Vehicle transfer , Markov decision process
  • Journal title
    Computers and Operations Research
  • Serial Year
    2010
  • Journal title
    Computers and Operations Research
  • Record number

    927650