Resumen de Capacitated fixed cost facility location problem with transportation choices

Elías Olivares Benítez

• In this work a Supply Chain Design problem is addressed. The problem is based on a two-echelon distribution system for a single product. In the system, plants ship the product to distribution centers, and these dispatch the product to the customers. One of the decisions in the problem is to locate the distribution centers among a set of potential sites. There are optional arcs between each pair of facilities in each echelon that represent different transportation channels defined by cost and time parameters. These transportation channels can be seen as transportation modes (rail, truck, airplane, etc.), transportation services from the same company (regular, express, overnight, etc.) or services offered by different companies. At difference of similar models for the same type of problem the transportation channel selection introduces a tradeoff between cost and time. The cause of this tradeoff is that a faster delivery service is usually more expensive