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Development of a Vehicle Routing System for Delivery Services

With the increasing ubiquity of e-commerce also arises the need for faster and more efficient methods to deliver goods from one place to another. Such systems rely heavily on vehicle routing systems, which couriers usually follow to determine their route for the day. In some countries, vehicle routing systems are managed manually, which either depends on the couriers themselves or on another person called a dispatcher, which is prone to errors and may not be very efficient. Hence, this study proposes a two-phase heuristic algorithm that will serve as the "dispatcher" for couriers to efficiently service all the customers within their area. A pairing of clustering and routing algorithms that solve the travelling salesman problem the best was found. Results show that using k-means as the clustering algorithm and a genetic algorithm with some modifications yield the best route recommendations in terms of total cost and processing time. It also is more efficient than the manual method with a savings of 16.5%.