I have been working on a vehicle routing problem in which the truck transports several commodities, but these are measured in different units. Hence, we know the capacity of the truck for each of these commodities alone, but we don’t know how to convert them into one another so that we can load two commodities and still respect the capacity.
For the sake of this explanation, consider the following example. We have a basket that can hold 2 watermelons or 10 oranges. Let
It is easy to observe that 1 watermelon is equivalent to 5 oranges, and if there is 1 watermelon in the basket, you could still add up to 5 oranges. In math terms, that is:
Generalizing this idea, let
Observe how the LHS converts all use of the resource into
Note that the LHS will likely contain fractional numbers, which can cause numerical instabilities when solving the resulting MIP. This will definitely happen if you simplify the
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