Supply chains are subject to various types of disruptions. In this paper, we analyze the problem of locating facilities in a supply chain under random disruptions on facilities. We present a new reliable location model called ‘the α-reliable Minimax regret’ which we apply it to the capacitated reliable fixed charge location problem. The model minimizes the worst-case regret with respect to a subset of worst-case scenarios whose collective probability of occurrence is at least α. The model is solved by CPLEX. Computational Results show it is efficient.
Rajaei, M.; Moattarhusseini, S.M.; and Parvaresh, F.
"A New Model for Reliable Facility Location Problem under Random Disruptions,"
Interscience Management Review: Vol. 3:
2, Article 5.
Available at: https://www.interscience.in/imr/vol3/iss2/5