LOG725 Transportation and Distribution (Autumn 2026)

The course content includes introduction to logistics as a field of study, to logistics systems and networks, and the study how to formulate and solve typical network flow planning, network design, and vehicle routing problems appearing in transportation and distribution of goods/services in logistics networks.

The logistics planning problems to study are:

- Flow planning problems in one-echelon transportation networks (Transportation Problem and its variants)

- Flow planning problems in two-echelon transportation networks (Transshipment Problem in different variants)

- Flow planning problems in general logistics networks in different variants

- Routing planning problems in different variants

- Facility location and logistics network design problems in different variants

The steps of study:

• Introduce how to formulate logistics planning problems using mathematical programming models

• Use full enumeration or simple heuristic algorithms to solve small size problems by hand

• Use standard software (AMPL modelling language and CPLEX or other solver) to solve large size problems

• Make economical interpretation of solutions and perform analysis of solutions using specific solution characteristics

After completing the course, the students will have knowledge of:

• Logistics as a field of study and as a professional practice

• Structure of logistics systems, supply chains, and logistics networks

• Typical logistics planning problems in transportation and distribution

• Simple algorithms for solving small size problems by hand

• Principles how to formulate logistics planning problems as optimization models

• Standard modeling language software (AMPL) to write optimization model as AMPL code

• Presentation of numerical input parameters as AMPL data file

• Use of TexPad editor or AMPL Integrated Development Environment (AMPL IDE) for writing AMPL codes for model and data, and calling solver to find optimal solution, present and store it.

• Procedure to make economical interpretation of solutions and instructions how to perform post-optimal and sensitivity analysis of solutions using specific solution characteristics.

After completing the course, the student will be able to apply the knowledge (skills):

• to define the type of logistics network and the class of transportation or distribution planning problem on the network

• to identify, based on a verbal description, problem’s input parameters, decision variables, problem's objectives and performance/quality indicators, and their relationships and dependencies

• to solve problems of small size using simple algorithms by hand

• to give precise formulations of planning problems as optimization (mathematical programming) models

• to enter problem formulation (in form of optimization model) and numerical parameters values into standard modelling software and to call the optimization solver to obtain solution

• to formulate appropriate command file for solver to display solution-related data needed for economical interpretation, parametric, and sensitivity analysis of solution

After completing the course, the students will be able:

• to identify structures of different logistics systems and types of transportation and distribution planning problems arising on logistics networks in study and work contexts

• to perceive logical relationships, dependencies, process structures, assumptions and limitations to formulate real planning problems arising in transportation and distribution as optimization models

• to use knowledge which algorithms and models are appropriate for solution of different planning problems in transportation and distribution

• to use skills to solve the transportation and distribution planning problems with simple algorithms and with standard optimization software

• to use skills in performing parametric and sensitivity analysis of solution to respond in an optimal way to novel situations

• to criticize the advantages and disadvantages of using algorithms and the standard software for solving practical transportation and distribution planning problems

• Mandatory coursework: Assignment(s)
• Courseworks given: 6
• Courseworks required: 6
• Presence: Required (physical or online) during one-week intensive introductory course in modelling language and optimization software.
• Kommentar: Individual submissions. All assignments should be submitted and approved to be admitted to final exam.

• Form of assessment: Oral school assessment based on submitted assignments
• Proportion: 100 %
• Duration: -
• Grouping: Individual
• Grading scale: Letter (A - F)
• Support material: All printed and written aids.