Research For Transportation Service Based On Combinatorial Auction

The logistics industry is developing vigorously which makes enterprises pay more attention to the saving of logistics cost. Transportation cost is a large proportion in the logistics cost which poses higher demand for the management level of logistics enterprises. In order to develop core-competitiveness, enterprises often choose outsourcing logistics to professional logistics transportation services provider. Traditional method to select carriers is biding. Price is the main element and the service process is subjective. How to use the scientific and reasonable method to choose a carrier to improve the logistics management services and reduce logistics cost becomes a question worthy of study. This paper takes advantage of multi-attribution combinatorial auction to research the management of logistics transportation service. By establishing multi-attribution combinatorial auction model, reasonable distribution of transportation demand has been performed to reduce logistics cost and reallocate social resources.First, auction theory has been introduced. By analyzing the application and features of combinatorial auction theory concludes that this theory can solve the above problem pretty well. We also find there are some disadvantages during the process of logistics transportation service distribution, such that price is the single element to be considered during selecting process. But timeliness of delivering and the scope of transportation net should also be considered into selecting process of carriers to make it more objective. Then, an overview of logistics transportation services has been given. It also analyzed unreasonable phenomenon in transportation services and the necessity to optimize service by multi-attribution combinatorial auction. In this paper, it also established multi-attribution evaluation system. At last, it established logistics transportation service auction model, and researched relevant algorithms.Finally, a case has been given to prove the feasibility and effectiveness of the algorithm. Using this model not only can reduce the cost, but also can help the carriers to choose combination of different routes considering their own advantages. At last, a win-win situation can be achieved.