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Robust hub network design problem

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  • Shahabi, Mehrdad
  • Unnikrishnan, Avinash

Abstract

This paper presents a robust formulation for the uncapacitated single and multiple allocation hub location problem where demand is uncertain and its distribution is not fully specified. The proposed robust model is formulated as a mixed integer nonlinear program and then transformed into a mixed integer conic quadratic program. An efficient linear relaxation strategy is proposed which is found to deliver the optimal solutions for all the cases considered in this paper. Numerical experiments suggest location of more number of hubs when accounting for demand uncertainty using robust optimization compared to the deterministic setting.

Suggested Citation

  • Shahabi, Mehrdad & Unnikrishnan, Avinash, 2014. "Robust hub network design problem," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 70(C), pages 356-373.
  • Handle: RePEc:eee:transe:v:70:y:2014:i:c:p:356-373
    DOI: 10.1016/j.tre.2014.08.003
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    References listed on IDEAS

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    1. Alumur, Sibel & Kara, Bahar Y., 2008. "Network hub location problems: The state of the art," European Journal of Operational Research, Elsevier, vol. 190(1), pages 1-21, October.
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    5. Campbell, James F., 1994. "Integer programming formulations of discrete hub location problems," European Journal of Operational Research, Elsevier, vol. 72(2), pages 387-405, January.
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    9. Mehrdad Shahabi & Shirin Akbarinasaji & Avinash Unnikrishnan & Rachel James, 2013. "Integrated Inventory Control and Facility Location Decisions in a Multi-Echelon Supply Chain Network with Hubs," Networks and Spatial Economics, Springer, vol. 13(4), pages 497-514, December.
    10. Mari'n, Alfredo & Canovas, Lazaro & Landete, Mercedes, 2006. "New formulations for the uncapacitated multiple allocation hub location problem," European Journal of Operational Research, Elsevier, vol. 172(1), pages 274-292, July.
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    12. Ebery, Jamie & Krishnamoorthy, Mohan & Ernst, Andreas & Boland, Natashia, 2000. "The capacitated multiple allocation hub location problem: Formulations and algorithms," European Journal of Operational Research, Elsevier, vol. 120(3), pages 614-631, February.
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    Cited by:

    1. repec:eee:transe:v:109:y:2018:i:c:p:20-43 is not listed on IDEAS
    2. Paul, Jomon Aliyas & Wang, Xinfang (Jocelyn), 2015. "Robust optimization for United States Department of Agriculture food aid bid allocations," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 82(C), pages 129-146.
    3. Khalilikhah, Majid & Habibian, Meeghat & Heaslip, Kevin, 2016. "Acceptability of increasing petrol price as a TDM pricing policy: A case study in Tehran," Transport Policy, Elsevier, vol. 45(C), pages 136-144.
    4. repec:eee:transb:v:106:y:2017:i:c:p:393-410 is not listed on IDEAS
    5. Niknamfar, Amir Hossein & Niaki, Seyed Taghi Akhavan, 2016. "Fair profit contract for a carrier collaboration framework in a green hub network under soft time-windows: Dual lexicographic max–min approach," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 91(C), pages 129-151.
    6. repec:eee:transe:v:109:y:2018:i:c:p:174-189 is not listed on IDEAS

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