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Approximate dynamic programming for liner shipping network design

delete2024-07-17
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OA
AI
S
Sangmin Lee *
T
Trine Krogh Boomsma
K
Klaus Kähler Holst
DOI:10.1007/s10479-024-06106-1delete
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Abstract

Abstract

En 中文
The global containerised trade heavily relies on liner shipping services, facilitating the worldwide movement of large cargo volumes along fixed routes and schedules. The profitability of shipping companies hinges on how efficiently they design their shipping network; a complex optimization problem known as the liner shipping network design problem (LSNDP). In recent years, approximate dynamic programming (ADP), also known as reinforcement learning, has emerged as a promising approach for large-scale optimisation. This paper introduces a novel Markov decision process for the LSNDP and investigates the potential of ADP. We show that ADP methods based on value iteration produce optimal solutions to small instances, but their scalability is hindered by high memory demands. An ADP method based on a deep neural network requires less memory and successfully obtains feasible solutions. The quality of solutions, however, declines for larger instances, possibly due to the discrete nature of high-dimensional state and action spaces.
Keywords:
Liner shipping network design
Approximate dynamic programming
Deep reinforcement learning
Combinatorial optimisation

Journal

Annals of Operations Research cover
Annals of Operations Research
IF:
4.5
Papers:
8.0K
Citations:
2.1W

Organization

U
University of Copenhagen
Scholars:
7.6W
Papers: 6.6W
Citations: 86
N
Novo Nordisk
Scholars:
4.3K
Papers: 2.7K
Citations: 31