Simulation-Optimization Model in Managing the Empty Container Movements Problem through Repositioning Strategies

Abstract

In recent decades, the management of container transportation has emerged as a crucial facet of the global maritime industry. The continuous surge in container movement worldwide, driven by economic growth, has inevitably led to challenges related to trade imbalances and empty containers. The logistics associated with empty container movements represent one of the most intricate challenges in the shipping sector. With the escalating global trade imbalances, the imperative repositioning of containers immediately after being emptied has become apparent. This paper delves into the diverse practices governing the motion of empty containers, encompassing organizational policies, technical solutions, and optimization applications. Leveraging the advancements in computer-aided systems, the paper advocates the integration of simulation and optimization models to address the complexities of empty container challenges. It demonstrates how the synergies of optimization-based simulation may yield high-quality solutions at a reduced computational cost. The model's practical application, focusing on ports in Asia and the Middle East, offers insights into its effectiveness for one of the largest shipping lines globally. The results demonstrate that the proposed optimized repositioning strategy can significantly reduce the shipping line’s costs and make full use of empty containers in the planning horizon.