Siting and Sizing of Facilities under Probabilistic Demands |
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| Authors: | Luís M Fernandes Joaquim J Júdice Hanif D Sherali António P Antunes |
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| Institution: | 1.Instituto Politécnico de Tomar and Instituto de Telecomunica??es,Tomar,Portugal;2.Departamento de Matemática,Universidade de Coimbra and Instituto de Telecomunica??es,Coimbra,Portugal;3.Grado Department of Industrial & Systems Engineering,Virginia Polytechnic Institute & State University,Blacksburg,USA;4.Departamento de Engenharia Civil,Universidade de Coimbra,Coimbra,Portugal |
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| Abstract: | In this paper a discrete location model for non-essential service facilities planning is described, which seeks the number,
location, and size of facilities, that maximizes the total expected demand attracted by the facilities. It is assumed that
the demand for service is sensitive to the distance from facilities and to their size. It is also assumed that facilities
must satisfy a threshold level of demand (facilities are not economically viable below that level). A Mixed-Integer Nonlinear
Programming (MINLP) model is proposed for this problem. A branch-and-bound algorithm is designed for solving this MINLP and
its convergence to a global minimum is established. A finite procedure is also introduced to find a feasible solution for
the MINLP that reduces the overall search in the binary tree generated by the branch-and-bound algorithm. Some numerical results
using a GAMS/MINOS implementation of the algorithm are reported to illustrate its efficacy and efficiency in practice. |
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