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The recoverable robust facility location problem

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  • Álvarez-Miranda, Eduardo
  • Fernández, Elena
  • Ljubić, Ivana

Abstract

This work deals with a facility location problem in which location and allocation (transportation) policy is defined in two stages such that a first-stage solution should be robust against the possible realizations (scenarios) of the input data that can only be revealed in a second stage. This solution should be robust enough so that it can be recovered promptly and at low cost in the second stage. In contrast to some related modeling approaches from the literature, this new recoverable robust model is more general in terms of the considered data uncertainty; it can address situations in which uncertainty may be present in any of the following four categories: provider-side uncertainty, receiver-side uncertainty, uncertainty in-between, and uncertainty with respect to the cost parameters.

Suggested Citation

  • Álvarez-Miranda, Eduardo & Fernández, Elena & Ljubić, Ivana, 2015. "The recoverable robust facility location problem," Transportation Research Part B: Methodological, Elsevier, vol. 79(C), pages 93-120.
  • Handle: RePEc:eee:transb:v:79:y:2015:i:c:p:93-120
    DOI: 10.1016/j.trb.2015.06.001
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    2. Tönissen, D.D. & Arts, J.J., 2020. "The stochastic maintenance location routing allocation problem for rolling stock," International Journal of Production Economics, Elsevier, vol. 230(C).
    3. Menezes, Mozart B.C. & Ruiz-Hernández, Diego & Verter, Vedat, 2016. "A rough-cut approach for evaluating location-routing decisions via approximation algorithms," Transportation Research Part B: Methodological, Elsevier, vol. 87(C), pages 89-106.
    4. Marjan Akker & Han Hoogeveen & Judith Stoef, 2018. "Combining two-stage stochastic programming and recoverable robustness to minimize the number of late jobs in the case of uncertain processing times," Journal of Scheduling, Springer, vol. 21(6), pages 607-617, December.
    5. Basciftci, Beste & Ahmed, Shabbir & Shen, Siqian, 2021. "Distributionally robust facility location problem under decision-dependent stochastic demand," European Journal of Operational Research, Elsevier, vol. 292(2), pages 548-561.
    6. Dönmez, Zehranaz & Kara, Bahar Y. & Karsu, Özlem & Saldanha-da-Gama, Francisco, 2021. "Humanitarian facility location under uncertainty: Critical review and future prospects," Omega, Elsevier, vol. 102(C).
    7. Roberto Gomes de Mattos & Fabricio Oliveira & Adriana Leiras & Abdon Baptista de Paula Filho & Paulo Gonçalves, 2019. "Robust optimization of the insecticide-treated bed nets procurement and distribution planning under uncertainty for malaria prevention and control," Annals of Operations Research, Springer, vol. 283(1), pages 1045-1078, December.
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    9. Maher, Stephen J., 2021. "Implementing the branch-and-cut approach for a general purpose Benders’ decomposition framework," European Journal of Operational Research, Elsevier, vol. 290(2), pages 479-498.
    10. Chen Chao & Tian Zhihui & Yao Baozhen, 2019. "Optimization of two-stage location–routing–inventory problem with time-windows in food distribution network," Annals of Operations Research, Springer, vol. 273(1), pages 111-134, February.

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