Single allocation hub location problem under congestion: Network owner and user perspectives

Authors:
R. S. de Camargo;G. Miranda
Affiliations:
Department of Industrial Engineering, Federal University of Minas Gerais Av., Antonio Carlos, 6627, 31270-901 Belo Horizonte, MG, Brazil;Department of Industrial Engineering, Federal University of Minas Gerais Av., Antonio Carlos, 6627, 31270-901 Belo Horizonte, MG, Brazil
Venue:
Expert Systems with Applications: An International Journal
Year:
2012

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Abstract

The single allocation hub location problem under congestion is addressed in this article. This mixed integer non-linear programming problem is referential in discrete location research having many real applications. Two different network design perspectives are proposed: the network owner and the network user. These perspectives can be translated into mathematical programming problems that are very hard to solve due to their inherently high combinatorial nature combined to the nonlinearities associated to congestion. A very efficient and effective generalized Benders decomposition algorithm is then deployed, enabling the solution of large scale instances in reasonable time.