A new approximation algorithm for the multilevel facility location problem

In this paper we propose a new integer programming formulation for the multilevel facility location problem and a novel 3-approximation algorithm based on LP-rounding. The linear program that we use has a polynomial number of variables and constraints, thus being more efficient than the one commonly used in the approximation algorithms for these types of problems.     

A cut-and-solve based algorithm for the single-source capacitated facility location problem

In this paper, we present a cut-and-solve (CS) based exact algorithm for the Single Source Capacitated Facility Location Problem (SSCFLP). At each level of CS’s branching tree, it has only two nodes, corresponding to the Sparse Problem (SP) and the Dense Problem (DP), respectively. The SP, whose solution space is relatively small with the values of some variables fixed to zero, is solved to optimality by using a commercial MIP solver and its solution if it exists provides an upper bound to the SSCFLP. Meanwhile, the resolution of the LP of DP provides a lower bound for the SSCFLP. A cutting plane method which combines the lifted cover inequalities and Fenchel cutting planes to separate the 0–1 knapsack polytopes is applied to strengthen the lower bound of SSCFLP and that of DP. These lower bounds are further tightened with a partial integrality strategy. Numerical tests on benchmark instances demonstrate the effectiveness of the proposed cutting plane algorithm and the partial integrality strategy in reducing integrality gap and the effectiveness of the CS approach in searching an optimal solution in a reasonable time. Computational results on large sized instances are also presented.     

A constant factor approximation algorithm for the fault-tolerant facility location problem

We consider a generalization of the classical facility location problem, where we require the solution to be fault-tolerant. In this generalization, every demand point j must be served by r_j facilities instead of just one. The facilities other than the closest one are “backup” facilities for that demand, and any such facility will be used only if all closer facilities (or the links to them) fail. Hence, for any demand point, we can assign nonincreasing weights to the routing costs to farther facilities. The cost of assignment for demand j is the weighted linear combination of the assignment costs to its r_j closest open facilities. We wish to minimize the sum of the cost of opening the facilities and the assignment cost of each demand j. We obtain a factor 4 approximation to this problem through the application of various rounding techniques to the linear relaxation of an integer program formulation. We further improve the approximation ratio to 3.16 using randomization and to 2.41 using greedy local-search type techniques.     

Accelerating Benders' decomposition for the capacitated facility location problem

Discrete facility location problems are attractive candidates for decomposition procedures since two types of decisions have to be performed: on the one hand the yes/no-decision where to locate the facilities, on the other hand the decision how to allocate the demand to the selected facilities. Nevertheless, Benders' decomposition seems to have a rather slow convergence behaviour when applied for solving location problems. In the following, a procedure will be presented for strengthening the Benders' cuts for the capacitated facility location problem. Computational results show the efficiency of the modified Benders' decomposition algorithm. Furthermore, the paretooptimality of the strengthened Benders' cuts in the sense of [Magnanti and Wong 1990] is shown under a weak assumption.This paper was written when the author was at the Institute for Operations Research, University of St. Gallen, Switzerland, and partly supported by Schweizerischer Nationalfond zur Förderung der wissenschaftlichen Forschung (Grant 12-30140.90).     

A D.C. optimization method for single facility location problems

The single facility location problem with general attraction and repulsion functions is considered. An algorithm based on a representation of the objective function as the difference of two convex (d.c.) functions is proposed. Convergence to a global solution of the problem is proven and extensive computational experience with an implementation of the procedure is reported for up to 100,000 points. The procedure is also extended to solve conditional and limited distance location problems. We report on limited computational experiments on these extensions.This research was supported in part by the National Science Foundation Grant DDM-91-14489.     

A computational approach for eliminating error in the solution of the location set covering problem

The location set covering problem continues to be an important and challenging spatial optimization problem. The range of practical planning applications underscores its importance, spanning fire station siting, warning siren positioning, security monitoring and nature reserve design, to name but a few. It is challenging on a number of fronts. First, it can be difficult to solve for medium to large size problem instances, which are often encountered in combination with geographic information systems (GIS) based analysis. Second, the need to cover a region efficiently often brings about complications associated with the abstraction of geographic space. Representation as points can lead to significant gaps in actual coverage, whereas representation as polygons can result in a substantial overestimate of facilities needed. Computational complexity along with spatial abstraction sensitivity combine to make advances in solving this problem much needed. To this end, a solution framework for ensuring complete coverage of a region with a minimum number of facilities is proposed that eliminates potential error. Applications to emergency warning siren and fire station siting are presented to demonstrate the effectiveness of the developed approach. The approach can be applied to convex, non-convex and non-contiguous regions and is unaffected by arbitrary initial spatial representations of space.     

The approximation gap for the metric facility location problem is not yet closed

We consider the 1.52-approximation algorithm of Mahdian et al. for the metric uncapacitated facility location problem. We show that their algorithm does not close the gap with the lower bound on approximability, 1.463, by providing a construction of instances for which its approximation ratio is not better than 1.494.     

An aggressive reduction scheme for the simple plant location problem

Pisinger et al. introduced the concept of ‘aggressive reduction’ for large-scale combinatorial optimization problems. The idea is to spend much time and effort in reducing the size of the instance, in the hope that the reduced instance will then be small enough to be solved by an exact algorithm.     

A bi-objective modeling approach applied to an urban semi-desirable facility location problem

This paper introduces a mixed-integer, bi-objective programming approach to identify the locations and capacities of semi-desirable (or semi-obnoxious) facilities. The first objective minimizes the total investment cost; the second one minimizes the dissatisfaction by incorporating together in the same function “pull” and “push” characteristics of the decision problem (individuals do not want to live too close, but they do not want to be too far, from facilities). The model determines the number of facilities to be opened, the respective capacities, their locations, their respective shares of the total demand, and the population that is assigned to each candidate site opened. The proposed approach was tested with a case study for a particular urban planning problem: the location of sorted waste containers. The complete set of (supported or unsupported) non-inferior solutions, consisting of combinations of multi-compartment containers for the disposal of four types of sorted waste in nineteen candidate sites, and population assignments, was generated. The results obtained for part of the historical center of an old European city (Coimbra, Portugal) show that this approach can be applied to a real-world planning scenario.     

A k-product uncapacitated facility location problem

A k-product uncapacitated facility location problem can be described as follows. There is a set of demand points where clients are located and a set of potential sites where facilities of unlimited capacities can be set up. There are k different kinds of products. Each client needs to be supplied with k kinds of products by a set of k different facilities and each facility can be set up to supply only a distinct product with a non-negative fixed cost determined by the product it intends to supply. There is a non-negative cost of shipping goods between each pair of locations. These costs are assumed to be symmetric and satisfy the triangle inequality. The problem is to select a set of facilities to be set up and their designated products and to find an assignment for each client to a set of k   facilities so that the sum of the setup costs and the shipping costs is minimized. In this paper, an approximation algorithm within a factor of 2k+1$2k+1$ of the optimum cost is presented. Assuming that fixed setup costs are zero, we give a 2k-1$2k-1$ approximation algorithm for the problem. In addition we show that for the case k=2$k=2$, the problem is NP-complete when the cost structure is general and there is a 2-approximation algorithm when the costs are symmetric and satisfy the triangle inequality. The algorithm is shown to produce an optimal solution if the 2-product uncapacitated facility location problem with no fixed costs happens to fall on a tree graph.     

The discrete facility location problem with balanced allocation of customers

We consider a discrete facility location problem where the difference between the maximum and minimum number of customers allocated to every plant has to be balanced. Two different Integer Programming formulations are built, and several families of valid inequalities for these formulations are developed. Preprocessing techniques which allow to reduce the size of the largest formulation, based on the upper bound obtained by means of an ad hoc heuristic solution, are also incorporated. Since the number of available valid inequalities for this formulation is exponential, a branch-and-cut algorithm is designed where the most violated inequalities are separated at every node of the branching tree. Both formulations, with and without the improvements, are tested in a computational framework in order to discriminate the most promising solution methods. Difficult instances with up to 50 potential plants and 100 customers, and largest easy instances, can be solved in one CPU hour.     

A primal-dual approximation algorithm for stochastic facility location problem with service installation costs

We consider the stochastic version of the facility location problem with service installation costs. Using the primal-dual technique, we obtain a 7-approximation algorithm.     

Global optimization of a nonconvex single facility location problem by sequential unconstrained convex minimization

The problem of maximizing the sum of certain composite functions, where each term is the composition of a convex decreasing function, bounded from below, with a convex function having compact level sets arises in certain single facility location problems with gauge distance functions. We show that this problem is equivalent to a convex maximization problem over a compact convex set and develop a specialized polyhedral annexation procedure to find a global solution for the case when the inside function is a polyhedral norm. As the problem was solved recently only for local solutions, this paper offers an algorithm for finding a global solution. Implementation and testing are not treated in this short communication.An earlier version of this paper appeared in the proceedings of a conference on Recent Advances in Global Optimization, C. Floudas and P. Pardalos, eds., Princeton University Press, 1991.     

Competitive facility location and design problem

We develop a spatial interaction model that seeks to simultaneously optimize location and design decisions for a set of new facilities. The facilities compete for customer demand with pre-existing competitive facilities and with each other. The customer demand is assumed to be elastic, expanding as the utility of the service offered by the facilities increases. Increases in the utility can be achieved by increasing the number of facilities, design improvements, or locating facilities closer to the customer.     

A combined facility location and network design problem with multi-type of capacitated links

This article presents a mixed-integer model to optimize the location of facilities and the underlying transportation network at the same time to minimize the total transportation and operating costs. In this problem, it is assumed that for connecting two nodes, there are several types of links in which their capacity, transportation and construction costs are different. The developed model has various applications in telecommunication, emergency, regional planning, pipeline network, energy management, distribution, to just name a few. To solve the model effectively, this paper also proposes a fix-and-optimize heuristic based on the evolutionary fire-fly algorithm. Finally, to validate the model and evaluate the algorithm’s performance, a series of test instances with up to 100 nodes and 600 candidate links with three different levels of quality are reported.     

A decomposition approach for facility location and relocation problem with uncertain number of future facilities

In this paper, we discuss two challenges of long term facility location problem that occur simultaneously; future demand change and uncertain number of future facilities. We introduce a mathematical model that minimizes the initial and expected future weighted travel distance of customers. Our model allows relocation for the future instances by closing some of the facilities that were located initially and opening new ones, without exceeding a given budget. We present an integer programming formulation of the problem and develop a decomposition algorithm that can produce near optimal solutions in a fast manner. We compare the performance of our mathematical model against another method adapted from the literature and perform sensitivity analysis. We present numerical results that compare the performance of the proposed decomposition algorithm against the exact algorithm for the problem.     

An approximation algorithm for a facility location problem with stochastic demands and inventories

We propose a 2-approximation algorithm for a facility location problem with stochastic demands. At open facilities, inventory is kept such that arriving requests find a zero inventory with (at most) some pre-specified probability. Costs incurred are expected transportation costs, facility operating costs and inventory costs.     

Soft-capacitated facility location game

We study the soft-capacitated facility location game which is an extension of the facility location game of Pa1 and Tardos. We propose a 6-approximate cross-monotonic cost-sharing method. Numerical tests indicate that the method is effective.