Multiobjective evolutionary algorithm for redesigning sales territories

Abstract

Redesigning sales territories is a strategic activity that seeks to improve customer's service level, sales costs and the quality's life of the salesmen to gain a competitive advantage in the market. In this paper we propose a multiobjective evolutionary algorithm for redesigning sales territories inspired by a company dedicated to sell products along Mexico. One objective seeks to minimize new turnover variation against the current ones of the salesmen. The other objective looks at compacting territories through minimizing the sum of the distance traveled of its salesmen. Each territory is restricted to a maximum workload and the conservation of the residence places of the salesmen in new territorial configurations. Through an evolutionary algorithm we seek to solve large instances that have not been solved by an exact method. © 2011 Springer-Verlag.