Operations Research, Systems Engineering and Industrial Engineering Commons^™

A Benders Based Rolling Horizon Algorithm For A Dynamic Facility Location Problem, Mohammad Marufuzzaman, Ridvan Gedik, Mohammad S. Roni

Mechanical and Industrial Engineering Faculty Publications

This study presents a well-known capacitated dynamic facility location problem (DFLP) that satisfies the customer demand at a minimum cost by determining the time period for opening, closing, or retaining an existing facility in a given location. To solve this challenging NP-hard problem, this paper develops a unique hybrid solution algorithm that combines a rolling horizon algorithm with an accelerated Benders decomposition algorithm. Extensive computational experiments are performed on benchmark test instances to evaluate the hybrid algorithm’s efficiency and robustness in solving the DFLP problem. Computational results indicate that the hybrid Benders based rolling horizon algorithm consistently offers high quality …