Capacitated location-routing problem with time windows under uncertainty

Authors:
Mohammad Hossein Fazel Zarandi;Ahmad Hemmati;Soheil Davari;I. Burhan Turksen
Affiliations:
Department of Industrial Engineering, Amirkabir University of Technology, Iran;Department of Industrial Engineering, Amirkabir University of Technology, Iran and Department of Industrial Economics and Technology Management, Norwegian University of Science and Technology, Nor ...;Department of Industrial Engineering, Amirkabir University of Technology, Iran;TOBB University of Economics and Technology, Turkey and Department of Mechanical and Industrial Engineering, University of Toronto, Canada
Venue:
Knowledge-Based Systems
Year:
2013

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Abstract

This paper puts forward a location-routing problem with time windows (LRPTW) under uncertainty. It has been assumed that demands of customers and travel times are fuzzy variables. A fuzzy chance constrained programming (CCP) model has been designed using credibility theory and a simulation-embedded simulated annealing (SA) algorithm is presented in order to solve the problem. To initialize solutions of SA, a heuristic method based on fuzzy c-means (FCM) clustering with Mahalanobis distance and sweep method have been employed. The numerical experiments clearly attest that the proposed solution approach is both effective and robust in solving problems with up to 100 demand nodes in reasonable times.