Title
The traveling salesman game: An application ofcost allocation in a gas and oil company
Abstract
In this article, a cost allocation problem that arises in a distribution planning situation atthe Logistics Department at Norsk Hydro Olje AB is studied. A specific tour is considered,for which the total distribution cost is to be divided among the customers that are visited.This problem is formulated as a traveling salesman game, and cost allocation methods basedon different concepts from cooperative game theory, such as the nucleolus, the Shapleyvalue and the t-value, are discussed. Additionally, a new concept is introduced: the demandnucleolus. Computational results for the Norsk Hydro case are presented and discussed.
Year
DOI
Venue
1998
10.1023/A:1018935324969
Annals OR
Keywords
DocType
Volume
cost allocation,real-life application,nucleolus,traveling salesman game,demand nucleolus,traveling salesman
Journal
82
Issue
ISSN
Citations 
0
1572-9338
13
PageRank 
References 
Authors
0.87
11
3
Name
Order
Citations
PageRank
Stefan Engevall1504.19
Maud Göthe-Lundgren219415.97
Peter Värbrand324722.37