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A stochastic optimization model for designing last mile relief networks

Noyan, Nilay and Balcik, Burcu and Atakan, Semih (2015) A stochastic optimization model for designing last mile relief networks. (Accepted/In Press)

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Official URL: http://dx.doi.org/10.1287/trsc.2015.0621

Abstract

In this study, we introduce a distribution network design problem that determines the locations and capacities of the relief distribution points in the last mile network, while considering demand- and network-related uncertainties in the post-disaster environment. The problem addresses the critical concerns of relief organizations in designing last mile networks, which are providing accessible and equitable service to beneficiaries. We focus on two types of supply allocation policies and propose a hybrid version considering their different implications on equity and accessibility. Then, we develop a two-stage stochastic programming model that incorporates the hybrid allocation policy and achieves high levels of accessibility and equity simultaneously. We devise a branch-and-cut algorithm based on Benders decomposition to solve large problem instances in reasonable times and conduct a numerical study to demonstrate the computational effectiveness of the solution method. We also illustrate the application of our model on a case study developed based on the real-world data from the 2011 Van earthquake in Turkey.

Item Type:Article
Additional Information:Published Online Date: August 10, 2015
Uncontrolled Keywords:facility location; post-disaster last mile network; humanitarian relief; accessibility; equity; stochastic integer programming; L-shaped method; branch-and-cut
Subjects:Q Science > Q Science (General)
T Technology > T Technology (General) > T055.4-60.8 Industrial engineering. Management engineering > T57.6-57.97 Operations research. Systems analysis
ID Code:27819
Deposited By:Nilay Noyan
Deposited On:17 Dec 2015 10:08
Last Modified:06 Oct 2016 14:26

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