Modeling and solving an economies‐of‐scale service system design problem
From MaRDI portal
Publication:6187314
Abstract: This paper studies the design of a service system in the presence of economies-of-scale. The goal is to make decision on the number, location, service capacities of facilities as well as on the allocation of customers to the opened facilities in order to minimize the cost of whole system. The total cost includes opening and serving costs of facilities aggregated to the transportation and waiting costs of customers. To reflect the economies-of-scale in the modeling, a general opening cost function is supposed for each service facility with the characteristic of being concave and non-decreasing on its service capacity. A Lagrangian relaxation algorithm is developed for solving the problem in its general form. The algorithm decomposes the relaxed model into some homogeneous subproblems where each one can be optimally solved in polynomial time with no need for any optimization solver. Our computational experiment shows that the developed algorithm is both efficient and effective in solving the proposed problem.
Cites work
- A LAGRANGEAN APPROACH TO THE FACILITY LOCATION PROBLEM WITH CONCAVE COSTS
- A Lagrangian heuristic for concave cost facility location problems: the plant location and technology acquisition problem
- A review of congestion models in the location of facilities with immobile servers
- An exact algorithm for the capacitated facility location problems with single sourcing
- An inventory-location model: Formulation, solution algorithm and computational results
- Capacity planning with congestion effects
- Congestion service facilities location problem with promise of response time
- Convexification of queueing formulas by mixed-integer second-order cone programming: an application to a discrete location problem with congestion
- Designing a service system with price- and distance-sensitive demand: a case study in mining industry
- Designing service system networks with interruption risks
- Efficient solution of a class of location-allocation problems with stochastic demand and congestion
- Exact solution of a class of nonlinear knapsack problems
- Facility location models for immobile servers with stochastic demand
- Fundamentals of queueing theory
- Lagrangian relaxation for integer programming
- Locating emergency services with different priorities: the priority queuing covering location problem
- Optimal Facility Location with Concave Costs
- Service system design for managing interruption risks: a backup-service risk-mitigation strategy
- Service system design with immobile servers, stochastic demand and concave-cost capacity selection
- Supply chain design considering economies of scale and transport frequencies
- The facility location problem with general cost functions
- The multiple server location problem
Cited in
(2)
This page was built for publication: Modeling and solving an economies‐of‐scale service system design problem
Report a bug (only for logged in users!)Click here to report a bug for this page (MaRDI item Q6187314)
