Optimal compensation design for coupled passenger-parcel transportation



               Department of Systems Engineering and Engineering Management

                       The Chinese University of Hong Kong


Date: Friday Dec 2, 4:30 pm – 5:30 pm

Venue: ERB 513, The Chinese University of Hong Kong

Title: Optimal compensation design for coupled passenger-parcel transportation

Speaker: Prof. Min Xu, Department of Industrial and Systems Engineering, The Hong Kong Polytechnic University


The recent fascination with shared mobility has not only opened a new era of how we envision moving people but also inspired the innovative idea of combining parcel and passenger transportation streams in urban cities. Motivated by this, this study investigates the compensation design problem for an integrative shared mobility (ISM) solution that uses an on-demand shared vehicle fleet to provide both passenger transportation and parcel delivery services. The objective is to determine the tactical optimal compensation scheme while considering the operational vehicle routing in an ISM system that maximizes the expected profit of the service operator under stochastic passenger and parcel demands. To address this problem, we formulate a two-stage stochastic programming model and propose a customized hybrid algorithm that integrates the variable neighborhood search and the adaptive large neighborhood search with a compensation adaptation module. Numerical experiments are carried out to evaluate the performance of the proposed model and solution method. Impact analysis is also conducted to explore the effectiveness of this new business model and the impacts of system parameters and derive managerial insights.



Dr. Min Xu is an Assistant Professor in the Department of Industrial and Systems Engineering at The Hong Kong Polytechnic University. She received Ph.D. degree in Transportation Engineering from the National University of Singapore, Singapore and double bachelor’s degrees in Hydraulic Engineering and Economics from Tsinghua University. Dr. Xu’s research focuses on using optimization models and algorithms to design and develop operation strategies for shared mobility and logistics systems with EVs and CAVs, transportation network modeling, travelers’ behavior modeling, and public transit modeling and optimization. Her work has been published in major journals in the field of transportation, such as Transportation Research Part B and Transportation Research Part C. Dr. Xu is currently serving on the editorial advisory board of Transportation Research Part C and Transportation Research Part E. She has worked on research projects funded by the Hong Kong Research Grants Council and the National Natural Science Foundation of China.

Everyone is welcome to attend the talk!

SEEM-5201 Website:


Friday, December 2, 2022 - 16:30 to 17:30