A Multi-objective Cash-in-transit Pollution-location-routing Problem Based on Urban Traffic Conditions

Document Type : Original Article

Authors

1 Department of Industrial Engineering, Alborz Campus, University of Tehran, Tehran, Iran

2 School of Industrial Engineering, College of Engineering, University of Tehran, Tehran, Iran

Abstract

Cash transfer from the central treasury to the bank branches and automated teller machines (ATMs) all over the city is one of the vital processes in a banking system. There are multiple factors (e.g., location of the treasury, transportation fleet, geographic distribution of the branches and ATMs, the demand for cash, customer satisfaction, and traffic that influence the efficiency of the cash transfer). Moreover, environmental issues, and in particular the issue of greenhouse gas (GHG) emissions are given weight. In this paper, a new mathematical model for a location-routing problem with transport vehicles in the banking system is developed based on urban traffic in such a way that three objectives of decreasing greenhouse emissions, reducing location and routing costs, and increasing customer satisfaction are taken into consideration simultaneously. Furthermore, a new multi-objective genetic algorithm hybridized with a PROMETHEE method, namely the multi-objective genetic-PROMETHEE algorithm (MOGPA), is developed to tackle the proposed model. The efficiency of the proposed algorithm is examined by comparing it with the non-dominated sorting genetic algorithm (NSGA-II) and multi-objective imperialist competitive algorithm (MOICA) for the real-case issue of Saman Bank. Because management assumptions are considered in the preference functions of the proposed algorithm, the results show that the solutions of the proposed algorithm are more efficient and closer to reality.

Keywords

Main Subjects

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International Journal of Engineering
Volume 36, Issue 2
TRANSACTIONS B: Applications
February 2023
Pages 299-310

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