A Multi-Exchange Heuristic for the Single-Source Capacitated Facility Location Problem

R. K. Ahuja (), J. B. Orlin (), S. Pallottino (), M. P. Scaparra () and M. G. Scutellà ()
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R. K. Ahuja: Department of Industrial and Systems Engineering, University of Florida, Gainesville, Florida 32611
J. B. Orlin: Sloan School of Management, Massachusetts Institute of Technology, Cambridge, Massachusetts 02139
S. Pallottino: Dipartimento di Informatica, Università di Pisa, Pisa, Italy
M. P. Scaparra: Dipartimento di Informatica, Università di Pisa, Pisa, Italy
M. G. Scutellà: Dipartimento di Informatica, Università di Pisa, Pisa, Italy

Management Science, 2004, vol. 50, issue 6, 749-760

Abstract: We present a very large-scale neighborhood (VLSN) search algorithm for the capacitated facility location problem with single-source constraints. The neighborhood structures are induced by customer multi-exchanges and by facility moves. We consider both traditional single-customer multi-exchanges, detected on a suitably defined customer improvement graph, and more innovative multicustomer multi-exchanges, detected on a facility improvement graph dynamically built through the use of a greedy scheme. Computational results for some benchmark instances are reported that demonstrate the effectiveness of the approach for solving large-scale problems. A further test on real data involving an Italian factory is also presented.

Keywords: location problems; large-scale optimization; neighborhood search; negative cycles (search for similar items in EconPapers)
Date: 2004
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Citations: View citations in EconPapers (22)

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