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Probability chains: A general linearization technique for modeling reliability in facility location and related problems

O'Hanley, J.R., Scaparra, M.P., García-Quiles, S. (2013) Probability chains: A general linearization technique for modeling reliability in facility location and related problems. European Journal of Operational Research, 230 (1). pp. 63-75. ISSN 0377-2217. (doi:10.1016/j.ejor.2013.03.021) (The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided) (KAR id:34015)

The full text of this publication is not currently available from this repository. You may be able to access a copy if URLs are provided.
Official URL:
http://dx.doi.org/10.1016/j.ejor.2013.03.021

Abstract

In this paper, we propose an efficient technique for linearizing facility location problems with site-dependent failure probabilities, focusing on the unreliable p-median problem. Our approach is based on the use of a specialized flow network, which we refer to as a probability chain, to evaluate compound probability terms. The resulting linear model is compact in size. The method can be employed in a straightforward way to linearize similarly structured problems, such as the maximum expected covering problem. We further discuss how probability chains can be extended to problems with co-location and other, more general problem classes. Additional lower bounds as well as valid inequalities for use within a branch and cut algorithm are introduced to significantly speed up overall solution time. Computational results are presented for several test problems showing the efficiency of our linear model in comparison to existing

problem formulations.

Item Type: Article
DOI/Identification number: 10.1016/j.ejor.2013.03.021
Uncontrolled keywords: Facility location; Reliability; Linearization; Probability chains; Probability flow networks; Valid inequalities
Subjects: H Social Sciences > HA Statistics > HA33 Management Science
Divisions: Divisions > Kent Business School - Division > Department of Analytics, Operations and Systems
Depositing User: Jesse O'Hanley
Date Deposited: 30 May 2013 10:25 UTC
Last Modified: 19 Sep 2023 15:04 UTC
Resource URI: https://kar.kent.ac.uk/id/eprint/34015 (The current URI for this page, for reference purposes)

University of Kent Author Information

O'Hanley, J.R..

Creator's ORCID: https://orcid.org/0000-0003-3522-8585
CReDIT Contributor Roles:

Scaparra, M.P..

Creator's ORCID: https://orcid.org/0000-0002-2725-5439
CReDIT Contributor Roles:

García-Quiles, S..

Creator's ORCID:
CReDIT Contributor Roles:
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