A Hybrid Reinforcement Learning-based Model for the Vehicle Routing Problem in Transportation Logistics

Abstract

Currently, the number of deliveries handled by transportation logistics is rapidly increasing because of the significant growth of the e-commerce industry, resulting in the need for improved functional vehicle routing measures for logistic companies. The effective management of vehicle routing helps companies reduce operational costs and increases its competitiveness. The vehicle routing problem (VRP) seeks to identify optimal routes for a fleet of vehicles to deliver goods to customers while simultaneously considering changing requirements and uncertainties in the transportation environment. Due to its combinatorial nature and complexity, conventional optimization approaches may not be practical to solve VRP. In this paper, a new optimization model based on reinforcement learning (RL) and a complementary tree-based regression method is proposed. In our proposed model, when the RL agent performs vehicle routing optimization, its state and action are fed into the tree-based regression model to assess whether the current route is feasible according to the given environment, and the response received is used by the RL agent to adjust actions for optimizing the vehicle routing task. The procedure repeats iteratively until the maximum iteration is reached, then the optimal vehicle route is returned and can be utilized to assist in decision making. Multiple logistics agency case studies are conducted to demonstrate the application and practicality of the proposed model. The experimental results indicate that the proposed technique significantly improves profit gains up to 37.63% for logistics agencies compared with the conventional approaches. Author