Integer Optimization Model for a Location-Allocation-Routing in a Distribution Network with Restrictions on Route

Abstract

In a distribution network, locating a facility such as supplier is important to decide that could impact not only the profitability of an organization but the ability to serve customers in short time. This paper considers the integrated Location-Allocation-Routing problem such that to minimize the overall cost by simultaneously selecting a subset of candidate facilities and constructing a set of delivery routes that satisfy some restrictions. In this paper we impose restrictions on route, i.e., distance and forbidden route. We use integer programming model to describe the problem. A feasible neighbourhood search is proposed to solve the result model.