A two-stage GIS-based optimization model for the dry port location problem: A case study of Iran

Document Type: Research Paper

Authors

1 School of Industrial Engineering, Iran University of Science and Technology, Tehran, Iran.

2 iran university of science and technology

Abstract

This article aims to investigate the location of dry ports by providing a two-stage GIS-optimization model. At the first stage, the appropriate points for establishing dry ports were identified using GIS and hierarchical analysis process; then, the suitable points were introduced as the potential points to the second stage model. At the second stage, by providing a multi-objective integer model, the location of the port and the transportation modes used to transship the goods from/to the dry port are investigated. Finally, the model is linearized using a heuristic method and, then, is developed using its robust counterpart in order to deal with the uncertainty in the model parameters. To investigate the performance of the model, the problem was solved using GAMS software for the case study of Iran. The obtained numerical results indicated that the use of the developed model and establishment of the dry port led to the reduced costs, reduced variable environmental effects of the seaport, improved accountability to the customers of these ports, and consequently increased competitiveness.

Keywords

Main Subjects


Alçada-Almeida, L., Coutinho-Rodrigues, J., & Current, J. (2009). A multiobjective modeling approach to locating incinerators. Socio-Economic Planning Sciences, 43(2), 111-120.

Ambrosino, D., & Sciomachen, A. (2014). Location of mid-range dry ports in multimodal logistic networks. Procedia-Social and Behavioral Sciences, 108, 118-128.

Aronsson, H., & Huge Brodin, M. (2006). The environmental impact of changing logistics structures. The international journal of logistics management, 17(3), 394-415.

Ben-Tal, A., & Nemirovski, A. (2000). Robust solutions of linear programming problems contaminated with uncertain data. Mathematical programming, 88(3), 411-424.

Beresford, A., Pettit, S., Xu, Q., & Williams, S. (2012). A study of dry port development in China. Maritime Economics & Logistics, 14(1), 73-98.

Bertsimas, D., & Sim, M. (2004). The price of robustness. Operations research, 52(1), 35-53.

Chang, Z., Notteboom, T., & Lu, J. (2015). A two-phase model for dry port location with an application to the port of Dalian in China. Transportation Planning and Technology, 38(4), 442-464.

Charnes, A., Cooper, W. W., & Ferguson, R. O. (1955). Optimal estimation of executive compensation by linear programming. Management science, 1(2), 138-151.

Church, R. L. (2002). Geographical information systems and location science. Computers & Operations Research, 29(6), 541-562.

Commission, E. (2000). IQ – intermodal quality final report for publication, Transport RTD programme of the 4th framework programme – Integrated transport chain. Retrieved from

Crainic, T. G., Dell’Olmo, P., Ricciardi, N., & Sgalambro, A. (2015). Modeling dry-port-based freight distribution planning. Transportation Research Part C: Emerging Technologies, 55, 518-534.

Cullinane, K., Bergqvist, R., & Wilmsmeier, G. (2012). The dry port concept–Theory and practice. Maritime Economics & Logistics, 14(1), 1-13.

Dadvar, E., Ganji, S. S., & Tanzifi, M. (2011). Feasibility of establishment of “Dry Ports” in the developing countries—the case of Iran. Journal of Transportation Security, 4(1), 19-33.

Do, N.-H., Nam, K.-C., & Le, Q.-L. N. (2011). A consideration for developing a dry port system in Indochina area. Maritime Policy & Management, 38(1), 1-9.

Ehrgott, M., Gandibleux, X., & Przybylski, A. (2016). Exact Methods for Multi-Objective Combinatorial Optimisation Multiple Criteria Decision Analysis (pp. 817-850): Springer.

El Ghaoui, L., Oustry, F., & Lebret, H. (1998). Robust solutions to uncertain semidefinite programs. SIAM Journal on Optimization, 9(1), 33-52.

Feng, X., Zhang, Y., Li, Y., & Wang, W. (2013). A Location-Allocation Model for Seaport-Dry Port System Optimization. Discrete Dynamics in Nature and Society, 2013.

Garivani, A., & Pishvaee, M. S. (2017). Honey global supply chain network design using fuzzy optimization approach. Journal of Industrial and Systems Engineering, 10(3).

González-Sánchez, G., Olmo-Sánchez, M. I., & Maeso-González, E. (2015). Effects of the Implementation of Antequera Dry Port in Export and Import Flows Enhancing Synergies in a Collaborative Environment (pp. 147-154): Springer.

Gorsevski, P. V., Donevska, K. R., Mitrovski, C. D., & Frizado, J. P. (2012). Integrating multi-criteria evaluation techniques with geographic information systems for landfill site selection: a case study using ordered weighted average. Waste management, 32(2), 287-296.

Haralambides, H., & Gujar, G. (2011). The Indian dry ports sector, pricing policies and opportunities for public-private partnerships. Research in Transportation Economics, 33(1), 51-58.

Ignizio, J. P. (1983). Generalized goal programming an overview. Computers & Operations Research, 10(4), 277-289.

Jaberi, N., & Rafeh, R. (2014). On the Linearization of Zinc Models. Journal of Advances in Computer Research, 5(4), 1-8.

Jaržemskis, A., & Vasiliauskas, A. V. (2007). Research on dry port concept as intermodal node. Transport, 22(3), 207-213.

Kovacs, G., Spens, K., & Roso, V. (2008). Factors influencing implementation of a dry port. International Journal of Physical Distribution & Logistics Management, 38(10), 782-798.

Lättilä, L., Henttu, V., & Hilmola, O.-P. (2013). Hinterland operations of sea ports do matter: dry port usage effects on transportation costs and CO 2 emissions. Transportation Research Part E: Logistics and Transportation Review, 55, 23-42.

Leveque, P., & Roso, V. (2002). Dry port concept for seaport inland access with intermodal solutions. Master's Thesis, Department of logistics and transportation, Chalmers University of Technology.

Li, Z., Ding, R., & Floudas, C. A. (2011). A comparative theoretical and computational study on robust counterpart optimization: I. Robust linear optimization and robust mixed integer linear optimization. Industrial & engineering chemistry research, 50(18), 10567-10603.

Malczewski, J. (1999). GIS and multicriteria decision analysis: John Wiley & Sons.

Malczewski, J. (2004). GIS-based land-use suitability analysis: a critical overview. Progress in planning, 62(1), 3-65.

Mohseni, S., Pishvaee, M. S., & Sahebi, H. (2016). Robust design and planning of microalgae biomass-to-biodiesel supply chain: A case study in Iran. Energy, 111, 736-755.

Munford, C. (1980). Buenos Aires–Congestion and the dry port solution. Cargo Systems International: The Journal of ICHCA, 7(10), 26-27.

Ng, A. K., Padilha, F., & Pallis, A. A. (2013). Institutions, bureaucratic and logistical roles of dry ports: the Brazilian experiences. Journal of Transport Geography, 27, 46-55.

Ng, A. Y., & Gujar, G. C. (2009). Government policies, efficiency and competitiveness: the case of dry ports in India. Transport Policy, 16(5), 232-239.

Novy, D., & Taylor, A. M. (2014). Trade and uncertainty. Retrieved from

Parola, F., & Sciomachen, A. (2005). Intermodal container flows in a port system network:: Analysis of possible growths via simulation models. International journal of production economics, 97(1), 75-88.

Qiu, X., & Lam, J. S. L. (2014). Optimal storage pricing and pickup scheduling for inbound containers in a dry port system. Paper presented at the 2014 IEEE International Conference on Systems, Man, and Cybernetics (SMC).

Qiu, X., Lam, J. S. L., & Huang, G. Q. (2015). A bilevel storage pricing model for outbound containers in a dry port system. Transportation Research Part E: Logistics and Transportation Review, 73, 65-83.

Roso, V. (2007). Evaluation of the dry port concept from an environmental perspective: A note. Transportation Research Part D: Transport and Environment, 12(7), 523-527.

Roso, V., & Lumsden, K. (2009). The dry port concept: moving seaport activities inland. UNESCAP, Transport and Communications Bulletin for Asia and the Pacific, 5(78), 87-102.

Roso, V., & Lumsden, K. (2010). A review of dry ports. Maritime Economics & Logistics, 12(2), 196-213.

Roso, V., Woxenius, J., & Lumsden, K. (2009). The dry port concept: connecting container seaports with the hinterland. Journal of Transport Geography, 17(5), 338-345.

Şener, Ş., Şener, E., Nas, B., & Karagüzel, R. (2010). Combining AHP with GIS for landfill site selection: a case study in the Lake Beyşehir catchment area (Konya, Turkey). Waste management, 30(11), 2037-2046.

Soyster, A. L. (1973). Technical note—convex programming with set-inclusive constraints and applications to inexact linear programming. Operations research, 21(5), 1154-1157.

Teixeira, J., Antunes, A., & Peeters, D. (2007). An optimization-based study on the redeployment of a secondary school network. Environment and Planning B: planning and Design, 34(2), 296-315.

UNCTAD. (1991). Handbook on the Management and Operation of Dry Ports. Geneva.

Veenstra, A., Zuidwijk, R., & van Asperen, E. (2012). The extended gate concept for container terminals: Expanding the notion of dry ports. Maritime Economics & Logistics, 14(1), 14-32.

Wang, C., Mu, D., Zhao, F., & Sutherland, J. W. (2015). A parallel simulated annealing method for the vehicle routing problem with simultaneous pickup–delivery and time windows. Computers & Industrial Engineering, 83, 111-122.

Wang, X., Yu, S., & Huang, G. (2004). Land allocation based on integrated GIS-optimization modeling at a watershed level. Landscape and Urban Planning, 66(2), 61-74.

Wolf, A. (1995). Import and hedging uncertainty in international trade. Journal of Futures Markets, 15(2), 101-110.

Woxenius, J., Roso, V., & Lumsden, K. (2004). The dry port concept–connecting seaports with their hinterland by rail. ICLSP, Dalian, 22-26.

Zachariadis, E. E., Tarantilis, C. D., & Kiranoudis, C. T. (2015). The load-dependent vehicle routing problem and its pick-up and delivery extension. Transportation Research Part B: Methodological, 71, 158-181.

Zeng, Q., Liu, Y., Yang, Z., & Yu, B. (2011). Optimization of Dry Ports Location for Western Taiwan Straits Economic Zone. Paper presented at the Reston, VA: ASCEProceedings of the Eleventh International Conference of Chinese Transportation Professionals; August.