LOGO Facility Location and Relocation

Company name Contents  1. Introduction  2. Literature review  3. A decomposition approach for facility location and relocation problem with uncertain number of future facilities

Company name Introduction  Definition ： Decide the location of facilities by scientific methods and make it be connected with the operation system of company to realize the purpose.

Company name Introduction  Outside influencing factor  Politics  Economic  Infrastructure  Competitor  Other

Company name Introduction  Inside influencing factor  Strategy  Product  Cost&Budget

Company name Introduction  The classification of location-allication model  three-dimensional  two-dimensional  One-dimensional  discrete

Company name Introduction  The classification of location-allication model  One facility  Many facilities

Company name Introduction  Objective  Minisum  Minimax  Maximin

Company name Introduction  Distance  Euclidean distance  Broken line distance

Company name Literature Review  p-Median problems a well known facility location probleman first introduced by Weber in the 1900’s  Allocation a set of soucres to some demand point for minimizing cost.  Strategic facility location: A review(Susan Hesse Owen *, Mark S. Daskin,1998)

Company name Literature Review  In A communication network, such as a telephone interconnection system, there is usually a switching center S. All traffic flows (messages) within the network must arrive at the center S before they are processed and then sent to their proper destination. (S. L. Hakimit,1963)

Company name Literature Review  In a communication networkN, such as a tele-phone interconnection system, there are usually a number of switching centers Si, S2, ***, S,. All traffic flows (messages) within the network must arrive at one of the switching centers and then be processed and sent to their proper destination. (S. L. Hakimit,1963)

Company name Literature Review  The stochastic extensions of the p- median problem were also introduced in literature (Berman and Krass, 2002). Zvi Drezner

Company name Literature Review  We are interested in finding the best location for p new facilities when some existing facilities are already located in the area.  (Zvi Drezner,1995)

Company name Literature Review  In this paper we investigate the situation when the number of facilities in the future is uncertain. We need to locate p facilities at the present time and will have to locate up to q additional facilities in the future.

Company name Literature Review  The probability that r facilities will be located in the future is given for every 0 <= r <=q.It is assumed that when new facilities are located in the future, they are located at sites which are optimal given the location of the original p facilities.  (Oded Berman, Zvi Drezner,2008)

Company name Literature Review  In this paper, we study a budget constrained location problem in which we simultaneously consider opening some new facilities and closing some existing facilities.  (Qian Wang, Rajan Batta;, Joyendu Bhadury, Christopher M. Rump,2003)

Company name Literature Review  A fuzzy multi-objective model with constraints on budget and the maximum number of relocations per period was constructed to solve the problem. Supply chain point of view of the problem was also studied in the literature.  (Melo and Saldanha da Gama, 2005)

Company name Literature  A decomposition approach for facility location and relocation problem with uncertain number of future facilities  Ayse Durukan Sonmez, Gino J. Lim,2012

Company name Literature  In order to overcome the limitations of the existing literature, we propose a solution approach that can determine the initial locations and future relocation of facilities where demand is subject to change and the number of future facilities is uncertain. Our aim is to minimize the initial and expected future weighted distances without exceeding the given budget for opening and closing facilities.

Company name Facility Location and Relocation Problem – Deterministic (FLRPD)

Company name Facility Location and Relocation Problem – Uncertainty (FLRP-U).

Company name Facility Location and Relocation Problem – Uncertainty (FLRP-U).

Company name Literature FLRP-D is NP-hard. (Wang et al., 2003). FLRP-U is NP-hard.

Company name Solution Algorithm

Company name Solution Algorithm

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D The FLRP-U was tested on 20 randomly generated networks with 250 nodes in each network. Percent difference of the objective function values are calculated by subtracting average objective function values of FLRP-U from FLRP-D and dividing by FLRP-U for all scenarios and budget values.

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name FLRP-U vs. FLRP-D

Company name Decomposition algorithm for FLRP-U

Company name Decomposition algorithm for FLRP-U

Company name Decomposition algorithm for FLRP-U

Company name Conclusion  In this paper, we introduced the facility location problem that considers future demand changes as well as uncertain number of future facilities which we named FLRP-U.

LOGO