A Stochastic Bottleneck Transportation Problem

Abstract

In this paper, a stochastic bottleneck transportation problem, which aims at minimizing the transportation time target subject to a chance constraint, is formulated and an algorithm based on a parametric programming approach is developed to solve it. Further, assuming the transportation costs to be deterministic, a trade-off analysis between the transportation time target and the total cost is given. In addition, methods are developed which give the whole spectrum of optimal solutions to the problems mentioned above. The algorithms are illustrated by numerical examples. The computational complexity of the algorithms is also discussed.

Keywords:

• transportation problem
• stochastic times
• parametric method