![](/images/graphics-bg.png)
A Simulated Annealing Methodology to Multiproduct Capacitated Facility Location with Stochastic Demand
Joint Authors
Qin, Jin
Xiang, Hui
Ye, Yong
Ni, Linglin
Source
Issue
Vol. 2015, Issue 2015 (31 Dec. 2015), pp.1-9, 9 p.
Publisher
Hindawi Publishing Corporation
Publication Date
2015-03-05
Country of Publication
Egypt
No. of Pages
9
Main Subjects
Medicine
Information Technology and Computer Science
Abstract EN
A stochastic multiproduct capacitated facility location problem involving a single supplier and multiple customers is investigated.
Due to the stochastic demands, a reasonable amount of safety stock must be kept in the facilities to achieve suitable service levels, which results in increased inventory cost.
Based on the assumption of normal distributed for all the stochastic demands, a nonlinear mixed-integer programming model is proposed, whose objective is to minimize the total cost, including transportation cost, inventory cost, operation cost, and setup cost.
A combined simulated annealing (CSA) algorithm is presented to solve the model, in which the outer layer subalgorithm optimizes the facility location decision and the inner layer subalgorithm optimizes the demand allocation based on the determined facility location decision.
The results obtained with this approach shown that the CSA is a robust and practical approach for solving a multiple product problem, which generates the suboptimal facility location decision and inventory policies.
Meanwhile, we also found that the transportation cost and the demand deviation have the strongest influence on the optimal decision compared to the others.
American Psychological Association (APA)
Qin, Jin& Xiang, Hui& Ye, Yong& Ni, Linglin. 2015. A Simulated Annealing Methodology to Multiproduct Capacitated Facility Location with Stochastic Demand. The Scientific World Journal،Vol. 2015, no. 2015, pp.1-9.
https://search.emarefa.net/detail/BIM-1079197
Modern Language Association (MLA)
Qin, Jin…[et al.]. A Simulated Annealing Methodology to Multiproduct Capacitated Facility Location with Stochastic Demand. The Scientific World Journal No. 2015 (2015), pp.1-9.
https://search.emarefa.net/detail/BIM-1079197
American Medical Association (AMA)
Qin, Jin& Xiang, Hui& Ye, Yong& Ni, Linglin. A Simulated Annealing Methodology to Multiproduct Capacitated Facility Location with Stochastic Demand. The Scientific World Journal. 2015. Vol. 2015, no. 2015, pp.1-9.
https://search.emarefa.net/detail/BIM-1079197
Data Type
Journal Articles
Language
English
Notes
Includes bibliographical references
Record ID
BIM-1079197