A Location-Inventory-Routing Problem in Forward and Reverse Logistics Network Design. (20th July 2016)

• Record Type: Journal Article
• Authors: Yuchi, Qunli; He, Zhengwen; Yang, Zhen; Wang, Nengmin
• Other Names: Bretti Gabriella Academic Editor.
• Is Part Of: Discrete dynamics in nature and society. Volume 2016(2016)
• Publication Date: 2016-07-20
• Subjects: System analysis -- Periodicals; Dynamics -- Periodicals; Chaotic behavior in systems -- Periodicals; Differentiable dynamical systems -- Periodicals; 003.05
• DOI: 10.1155/2016/3475369
• Languages: English
• ISSNs: 1026-0226

Abstract

Abstract : We study a new problem of location-inventory-routing in forward and reverse logistic (LIRP-FRL) network design, which simultaneously integrates the location decisions of distribution centers (DCs), the inventory policies of opened DCs, and the vehicle routing decision in serving customers, in which new goods are produced and damaged goods are repaired by a manufacturer and then returned to the market to satisfy customers' demands as new ones. Our objective is to minimize the total costs of manufacturing and remanufacturing goods, building DCs, shipping goods (new or recovered) between the manufacturer and opened DCs, and distributing new or recovered goods to customers and ordering and storage costs of goods. A nonlinear integer programming model is proposed to formulate the LIRP-FRL. A new tabu search (NTS) algorithm is developed to achieve near optimal solution of the problem. Numerical experiments on the benchmark instances of a simplified version of the LIRP-FRL, the capacitated location routing problem, and the randomly generated LIRP-FRL instances demonstrate the effectiveness and efficiency of the proposed NTS algorithm in problem resolution.