The location routing problem with time windows and load-dependent travel times for cargo bikes

Abstract

Last-mile delivery with traditional delivery trucks is ecologically unfriendly and leads to high road utilization. Thus, cities seek for different delivery options to solve these problems. One promising option is the use of cargo bikes in last-mile delivery. These bikes are typically released at micro hubs, which are small containers or facilities located at advantageous places in the city center. Since the bike’s travel speed depends on its remaining load and the street gradient, placing the hubs at valleys might cause additional work for rides. Therefore, the following question arises: How high is the impact of load-dependent travel times on micro hubs’ cost-optimal placements?