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Reliability Models for Facility Location: The Expected Failure Cost Case

✍ Scribed by Snyder, Lawrence V.; Daskin, Mark S.


Book ID
118021228
Publisher
INFORMS
Year
2005
Tongue
English
Weight
237 KB
Volume
39
Category
Article
ISSN
0041-1655

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✍ Snyder, Lawrence V.; Daskin, Mark S. πŸ“‚ Article πŸ“… 2005 πŸ› INFORMS 🌐 English βš– 237 KB

Classical facility location models like the P-median problem (PMP) and the uncapacitated fixed-charge location problem (UFLP) implicitly assume that, once constructed, the facilities chosen will always operate as planned. In reality, however, facilities β€œfail” from time to time due to poor weather,

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## Abstract In this paper, we study a strategic facility location problem under uncertainty. The uncertainty associated with future events is modeled by defining alternative future scenarios with probabilities. We present a new model called the α‐reliable mean‐excess model that minimizes the expect