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Optimizing the wine transportation process from bottling plants to ports

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Abstract

The wine industry is a highly competitive sector for which any efficiency improvement in the wine supply chain plays a critical role in maintaining or increasing profitability. Literature shows several successful applications of operational research tools at each stage of the wine production process. However, unlike other stages, the transportation and distribution phase has not been given the same attention in the specialized literature. To bridge this gap, this article proposes an integer linear programming model to jointly determine a plan for the bottling and transportation of products to ports in order to minimize inventory, freight, and delay costs. This model can be optimally solved in less than one day for small instances of up to 25 jobs. In practice, however, some industrial instances can easily exceed 200 jobs, which precludes the use of this model to support decision-making. To cope with this issue, we devise a two-stage procedure that generates good-quality solutions for industrial-size instances of this problem in reasonable computing times. Particularly, we show that the GAP of the proposed heuristic solution is relatively low for a wide range of instances. Finally, a case study is conducted on a medium-sized Chilean winery we worked with, where the planning generated by the proposed heuristic reduces the costs corresponding to the transportation stage by 45.3% in the best case, compared to the initial planning of the winery.

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Funding

Fondo Nacional de Desarrollo Científico y Tecnológico (Grant Number: 11200167); Fondo de Innovación para la Competitividad (Grant Number: 11190892); Comisión Nacional de Investigación Científica y Tecnológica (Grant Number: ANID PIA/BASAL AFB180003).

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Authors and Affiliations

  1. School of Industrial Engineering, Pontificia Universidad Católica de Valparaíso, Valparaíso, Chile

    Franco Basso

  2. Instituto Sistemas Complejos de Ingeniería, Santiago, Chile

    Franco Basso

  3. Departamento de Ingeniería Industrial, Universidad Católica del Norte, Antofagasta, Chile

    Juan Pablo Contreras

  4. Escuela de Ingeniería Industrial, Universidad Diego Portales, Santiago, Chile

    Raúl Pezoa & Alejandro Troncozo

  5. Facultad de Ingeniería, Universidad del Desarrollo, Santiago, Chile

    Mauricio Varas

  6. Centro de Investigación en Sustentabilidad y Gestión Estratégica de Recursos, Facultad de Ingeniería, Universidad del Desarrollo, Santiago, Chile

    Mauricio Varas

Authors
  1. Franco Basso
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  2. Juan Pablo Contreras
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  3. Raúl Pezoa
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  4. Alejandro Troncozo
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  5. Mauricio Varas
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Corresponding author

Correspondence to Franco Basso.

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Appendices

Jobs and orders data

See Tables 7, 8.

Table 7 Orders data of the illustrative example
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Table 8 Jobs data of the case study
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Parameters data

See Tables 9, 10.

Table 9 Parameters data of the illustrative example
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Table 10 Parameters data of the case study
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Full experimental results

See Table 11.

Table 11 Experimental results for 10 instances of each experiment
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Basso, F., Contreras, J.P., Pezoa, R. et al. Optimizing the wine transportation process from bottling plants to ports. Oper Res Int J 23, 37 (2023). https://doi.org/10.1007/s12351-023-00778-6

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