The Price of Anarchy for Centralising or Decentralising Freight Transport Organisation Through Serious Gaming

Mariam Lafkihi, Shenle Pan, Eric Ballot
2019 IFAC-PapersOnLine  
Centralisation and decentralisation are the two common organisations in freight transport. The first relies on a central authority who optimises and establishes transport plans for all carriers for globalinterest, while the second lets carriers optimise their own transport plans for their self-interest. The outcome -efficiency and effectiveness -could be different. This paper aims to use the concept of Price of Anarchy (PoA) to compare the outcome of the two organisations. Due to the complexity
more » ... of actual freight transport market, this paper adapts the gamification methodology to investigate the two organisations. A freight transport game was developed for simulation. The outcome of the two simulated organisationscentralisation or decentralisation -are then compared. The results show that the centralisation outperforms in terms of global efficiency and effectiveness; while decentralisation is better individual incentive. However, the PoA varies depending on information revealed. Copy-right © 2019 IFAC
doi:10.1016/j.ifacol.2019.11.438 fatcat:6xtxjq72mnaqpbu3shs342hpie