A survey of finished vehicle distribution and related problems from an optimization perspective

Abstract In this survey paper, we critique the optimization studies on the distribution of finished vehicles from automobile manufacturers to dealers in the past three decades and propose promising prospective research to minimize the gap between industrial practice and academic research. First, we identify major decision makers involved in automobile distribution, summarize service models, and briefly describe the automobile shipping practice by transportation mode. After defining the automobile shipping optimization problem at the operational level, we present the automobile distribution problem taxonomy by classifying existing studies by the level of decision making, mode of transportation, and type of optimization decisions. Each subcategory of studies is reviewed in detail through comparisons by objective function, constraints, formulation, solution algorithm, and test instances. We conclude this survey paper by summarizing major review outcomes and proposing potential research directions. This survey will stimulate interested transportation researchers to conduct further research to keep pace with the rapid evolution of the automobile shipping practice.