 Multi-products location–routing problem integrated with inventory under stochastic demandSeyed Reza Sajjadi and S. Hossein Cheraghi International Journal of Industrial and Systems Engineering, 2011, vol. 7, issue 4, 454-476 Abstract: The location–routing problem (LRP) deals with simultaneously selecting (locating) one or more facilities from a set of potential facilities (locations), and assigning customers to the selected facilities. Since LRP and inventory decisions are inter-related, integrating them can lead to a more efficient supply chain. Therefore, to improve the operation of the supply chain process, this paper presents a model that integrates inventory control, as a tactical decision, with the LRP. The presented model considers the multi-product network under the fixed order interval inventory policy with stochastic demands for products. Moreover, third-party logistics offers excess space for selected warehouses if needed. This paper also presents a solution approach based on simulated annealing that solves problems with the size of 40 products and 350 customers in reasonable run time. Keywords: location routing; inventory control; supply chain integration; supply chain management; SCM; multi-product network; facilities location; multi-product networks; fixed order interval inventory policy; third-party logistics; 3PL; simulated annealing. (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:ids:ijisen:v:7:y:2011:i:4:p:454-476 Access Statistics for this article More articles in International Journal of Industrial and Systems Engineering from Inderscience Enterprises Ltd |
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