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Hub network design problems with profits

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  • Alibeyg, Armaghan
  • Contreras, Ivan
  • Fernández, Elena

Abstract

This paper presents a class of hub network design problems with profit-oriented objectives, which extend several families of classical hub location problems. Potential applications arise in the design of air and ground transportation networks. These problems include decisions on the origin/destination nodes that will be served as well as the activation of different types of edges, and consider the simultaneous optimization of the collected profit, setup cost of the hub network and transportation cost. Alternative models and integer programming formulations are proposed and analyzed. Results from computational experiments show the complexity of such models and highlight their superiority for decision-making.

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  • Alibeyg, Armaghan & Contreras, Ivan & Fernández, Elena, 2016. "Hub network design problems with profits," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 96(C), pages 40-59.
    • Handle: RePEc:eee:transe:v:96:y:2016:i:c:p:40-59
    DOI: 10.1016/j.tre.2016.09.008
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    Cited by:

    1. Lin, Cheng-Chang & Lee, Shwu-Chiou, 2018. "Hub network design problem with profit optimization for time-definite LTL freight transportation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 114(C), pages 104-120.
    2. Zhang, Haifeng & Yang, Kai & Gao, Yuan & Yang, Lixing, 2022. "Accelerating Benders decomposition for stochastic incomplete multimodal hub location problem in many-to-many transportation and distribution systems," International Journal of Production Economics, Elsevier, vol. 248(C).
    3. Saldanha-da-Gama, Francisco, 2022. "Facility Location in Logistics and Transportation: An enduring relationship," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 166(C).
    4. Matthias Klumpp, 2017. "Do Forwarders Improve Sustainability Efficiency? Evidence from a European DEA Malmquist Index Calculation," Sustainability, MDPI, vol. 9(5), pages 1-33, May.
    5. Rath, Srushti & Chow, Joseph Y.J., 2022. "Air taxi skyport location problem with single-allocation choice-constrained elastic demand for airport access," Journal of Air Transport Management, Elsevier, vol. 105(C).
    6. Fernández, Elena & Sgalambro, Antonino, 2020. "On carriers collaboration in hub location problems," European Journal of Operational Research, Elsevier, vol. 283(2), pages 476-490.
    7. Matthias Klumpp, 2018. "How to Achieve Supply Chain Sustainability Efficiently? Taming the Triple Bottom Line Split Business Cycle," Sustainability, MDPI, vol. 10(2), pages 1-23, February.
    8. Erdoğan, Güneş & Battarra, Maria & Rodríguez-Chía, Antonio M., 2022. "The hub location and pricing problem," European Journal of Operational Research, Elsevier, vol. 301(3), pages 1035-1047.
    9. Taherkhani, Gita & Alumur, Sibel A., 2019. "Profit maximizing hub location problems," Omega, Elsevier, vol. 86(C), pages 1-15.
    10. Corberán, Ángel & Landete, Mercedes & Peiró, Juanjo & Saldanha-da-Gama, Francisco, 2019. "Improved polyhedral descriptions and exact procedures for a broad class of uncapacitated p-hub median problems," Transportation Research Part B: Methodological, Elsevier, vol. 123(C), pages 38-63.
    11. Zetina, Carlos Armando & Contreras, Ivan & Cordeau, Jean-François & Nikbakhsh, Ehsan, 2017. "Robust uncapacitated hub location," Transportation Research Part B: Methodological, Elsevier, vol. 106(C), pages 393-410.
    12. Alibeyg, Armaghan & Contreras, Ivan & Fernández, Elena, 2018. "Exact solution of hub network design problems with profits," European Journal of Operational Research, Elsevier, vol. 266(1), pages 57-71.
    13. Alumur, Sibel A. & Campbell, James F. & Contreras, Ivan & Kara, Bahar Y. & Marianov, Vladimir & O’Kelly, Morton E., 2021. "Perspectives on modeling hub location problems," European Journal of Operational Research, Elsevier, vol. 291(1), pages 1-17.
    14. Klumpp, M. & Ruiner, C., 2018. "Digitalization and Work Organization in New Urban Food Delivery Systems," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276876, International European Forum on System Dynamics and Innovation in Food Networks.
    15. Seung Yoon Ko & Sung Won Cho & Chulung Lee, 2018. "Pricing and Collaboration in Last Mile Delivery Services," Sustainability, MDPI, vol. 10(12), pages 1-20, December.

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