The continuous single source location problem with capacity and zone-dependent fixed cost: models and solution approaches

Chandra Irawan, Said Salhi, Martino Luis, Nader Azizi

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Abstract

The continuous capacitated single-source multi-facility Weber problem with the presence of facility fixed cost is investigated. A new mathematical model which incorporates multi-level type capacity (or design) and facility fixed cost that is capacity-based and zone-dependent is introduced. As no data set exists for this new location problem, a new data set based on convex polygons using triangular shape is constructed. A generalised two stage heuristic scheme that combines the concept of aggregation, an exact method, and an enhanced Cooper’s alternate location–allocation method is put forward. A framework that embeds Variable Neighbourhood Search is also proposed. Computational experiments show that these matheuristics produce encouraging results for this class of location problems. The proposed approaches are also easily adapted to cater for a recently studied variant namely the single-source capac- itated multi-facility Weber problem where they outperform those recently published solution methods.
Original languageEnglish
Pages (from-to)94-107
Number of pages14
JournalEuropean Journal of Operational Research
Volume263
Issue number1
Early online date7 Apr 2017
DOIs
Publication statusPublished - 16 Nov 2017

Keywords

  • Location
  • Continuous space
  • Capacity and fixed cost
  • Single-source
  • Matheuristics

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