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MIP Optimization of the Lithium Logistics problem

Christian Fremuth-Paeger, Andreas Hefele, Dieter Jungnickel1, Matthias Leclerct2
1Lehrstuhl fiir Diskrete Mathematik, Optimierang und Operations Research, Univer- sitat Augsburg, D-86135 Augsburg, Germany
2West Landesbank AG, Ilerzogstr. 15, 40217 Diisseldorf, Germany

Abstract

We investigate the optimization of a real-world logistics problem, which is concerned with shipping a dangerous chemical substance in various degrees of refinement to several locations and customers. Transport frequencies, inventories, and container flows have to be optimized. On the one hand, we discuss the mathematical structure of our problem (one result being its NP-completeness), and on the other hand, we describe our practical approach, which achieves nearly optimal solutions.