Engineering Commons^™

A Machine Learning Approach For Allocating Route Cost To Customers For Transportation And Logistics Services., Alison Davis

Electronic Theses and Dissertations

Advancements in big data enabled management practices inspire logistics companies to study deeper into their transportation operations with a data driven approach. One such question asks: How can a logistics firm identify high-cost customers in their service network? In the presence of rich data on routes involving many customers, this thesis develops a framework to allocate a route cost among customers that the route serves, where each route is associated with multiple route features related to the transportation cost. Cost is allocated using the proportional allocation approach in combination with the random forest method in machine learning. First, this framework …