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      • Department of Industrial Engineering
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      Spatial analysis of single allocation hub location problems

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      Author(s)
      Peker, M.
      Kara, B. Y.
      Campbell, J. F.
      Alumur, S. A.
      Date
      2016
      Source Title
      Networks and Spatial Economics
      Print ISSN
      1566-113X
      Electronic ISSN
      1572-9427
      Publisher
      Springer
      Volume
      16
      Issue
      4
      Pages
      1075 - 1101
      Language
      English
      Type
      Article
      Item Usage Stats
      207
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      627
      downloads
      Abstract
      Hubs are special facilities that serve as switching, transshipment and sorting nodes in many-to-many distribution systems. Flow is consolidated at hubs to exploit economies of scale and to reduce transportation costs between hubs. In this article, we first identify general features of optimal hub locations for single allocation hub location problems based on only the fundamental problem data (demand for travel and spatial locations). We then exploit this knowledge to develop a straightforward heuristic methodology based on spatial proximity of nodes, dispersion and measures of node importance to delineate subsets of nodes likely to contain optimal hubs. We then develop constraints for these subsets for use in mathematical programming formulations to solve hub location problems. Our methodology can also help narrow an organization’s focus to concentrate on more detailed and qualitative analyses of promising potential hub locations. Results document the value of including both demand magnitude and centrality in measuring node importance and the relevant tradeoffs in solution quality and time.
      Keywords
      Clustering nodes
      Hub location problem
      Single allocation
      Spatial distribution
      Economics
      Heuristic methods
      Location
      Mathematical programming
      Optimization
      Site selection
      Spatial distribution
      Clustering nodes
      Economies of scale
      Hub location problems
      Many-to-many distribution systems
      Qualitative analysis
      Single allocation
      Spatial proximity
      Transportation cost
      Problem solving
      Permalink
      http://hdl.handle.net/11693/36903
      Published Version (Please cite this version)
      http://dx.doi.org/10.1007/s11067-015-9311-9
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      • Department of Industrial Engineering 758
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