Facility location models for distribution planning (original) (raw)
Related papers
The AMFITEATRU ECONOMIC journal, 2016
The process of globalization has stimulated the demand for logistics services at a level of speed and increased efficiency, which involves using of techniques, tools, technologies and modern models in supply chain management. The aim of this research paper is to present a model that can be used in order to achieve an optimized supply chain, associated with minimum transportation costs. The utilization of spatial modeling for determining the optimal locations for logistics centers in a predefined economic area is proposd in this paper. The principal methods used to design the model are mathematic optimization and linear programming. The output data of the model are the precise placement of one up to ten logistics centers, in terms of minimum operational costs for delivery from the optimum locations to consumer points. The results of the research indicate that by using the proposed model, an efficient supply chain that is consistent with optimization of transport can be designed, in o...
Facility Location for a Closed Loop Distribution Network: a Hybrid Approach
Purpose-The aim of the study is to find a sustainable facility location solution for a closed loop distribution network in the uncertain environment created by of high levels of product returns from online retailing coupled with growing pressure to reduce carbon emissions. Design/methodology/approach-A case study approach attempts to optimize the distribution centre location decision for single and double hub scenarios. A hybrid approach combining centre of gravity and mixed integer programming is established for the un-capacitated multiple allocation facility location problem. Empirical data from a major national UK retail distributor network is used to validate the model. Findings-The paper develops a contemporary model that can take into account multiple factors (e.g. operational and transportation costs and supply chain risks) while improving performance on environmental sustainability. Practical implications-Based on varying product return rates, Supply Chain Managers can decide whether to choose a single or a double hub solution to meet their needs. The study recommends a two hub facility location approach to mitigate emergent supply chain risks and disruptions. Originality/value-A two-stage hybrid approach outlines a unique technique to generate candidate locations under 21 st century conditions for new distribution centers.
An improved long-run model for multiple warehouse location
Management Science, 1976
University of Cincinnati This paper proposes an improved model for solving the long-run multiple warehouse location problem. The approach used provides a synthesis of a mixed integer programming formulation for the single-period warehouse location model with a dynamic programming ...