Purpose: Lately, mass logistics centres (MLCs) have emerged to increase transport efficiency in soil and rock (mass) material transports and pave the way for circular mass flows. However, where to locate these MLCs has received limited attention and is often done in an ad hoc manner. The purpose of this study is thus to determine the best location for an MLC in a fully centralized system (i.e., a system where all materials are sent to and from an MLC).
Design/methodology: To determine the best possible location for MLCs we propose a mixed-integer optimization model. We test and validate the model using real data from a railway infrastructure project. Parts of the input data are prepared using QGIS.
Findings: The study finds that the developed model is a suitable tool for locating MLCs. However, an MLC in a fully centralized system is unsuitable to improve transport efficiency.
Research limitations/implications: This model is based on one railway infrastructure project. It disregards suppliers in the material flow and limits MLCs so that they hold no inventory of material. As such, future studies should validate the model against other projects.
Practical implications: Contractors, developers, and municipalities can find support in the model on how to locate MLCs from a transport efficiency perspective.
Social implications: This study is an important step in analysing the potential of MLCs as a tool for reducing the negative impact of mass transports.
Originality: This is one of the first in-depth studies of MLC localization from a transport efficiency perspective.
Helsinki, Finland: Hanken School of Economics , 2023.