The pickup and delivery problem with time windows requires that a group of
vehicles satisfy a collection of customer requests. Each customer request r
equires the use of a single vehicle both to load a specified amount of good
s at one location and to deliver them to another location. All requests mus
t be performed without violating either the vehicle capacity or the custome
r time window stipulated at each location. In this paper, we present a reac
tive tabu search approach to solve the pickup and delivery problem with tim
e windows using three distinct move neighborhoods that capitalize on the do
minance of the precedence and coupling constraints. A hierarchical search m
ethodology is used to dynamically alternate between neighborhoods in order
to negotiate different regions of the solution space and adjust search traj
ectories. In order to validate our technique's effectiveness, we have const
ructed a new set of benchmark problems for the pickup and delivery problem
with time windows based on Solomon's benchmark vehicle routing problem with
time windows data sets, Computational results substantiate the solution qu
ality and efficiency of our reactive tabu search approach. (C) 2000 Elsevie
r Science Ltd. All rights reserved.