The purpose of this paper is to describe TABUROUTE, a new tabu search
heuristic for the vehicle routing problem with capacity and route leng
th restrictions. The algorithm considers a sequence of adjacent soluti
ons obtained by repeatedly removing a vertex from its current route an
d reinserting it into another route. This is done by means of a genera
lized insertion procedure previously developed by the authors. During
the course of the algorithm, infeasible solutions are allowed. Numeric
al tests on a set of benchmark problems indicate that tabu search outp
erforms the best existing heuristics, and TABUROUTE often produces the
best known solutions.