On the use of biased-randomized algorithms for solving non-smooth optimization problems

Soft constraints are quite common in real-life applications. For example, in freight transportation, the fleet size can be enlarged by outsourcing part of the distribution service and some deliveries to customers can be postponed as well; in inventory management, it is possible to consider stock-outs generated by unexpected demands; and in manufacturing processes and project management, it is frequent that some deadlines cannot be met due to delays in critical steps of the supply chain. However, capacity-, size-, and time-related limitations are included in many optimization problems as hard constraints, while it would be usually more realistic to consider them as soft ones, i.e., they can be violated to some extent by incurring a penalty cost. Most of the times, this penalty cost will be nonlinear and even noncontinuous, which might transform the objective function into a non-smooth one. Despite its many practical applications, non-smooth optimization problems are quite challenging, especially when the underlying optimization problem is NP-hard in nature. In this paper, we propose the use of biased-randomized algorithms as an effective methodology to cope with NP-hard and non-smooth optimization problems in many practical applications. Biased-randomized algorithms extend constructive heuristics by introducing a nonuniform randomization pattern into them. Hence, they can be used to explore promising areas of the solution space without the limitations of gradient-based approaches, which assume the existence of smooth objective functions. Moreover, biased-randomized algorithms can be easily parallelized, thus employing short computing times while exploring a large number of promising regions. This paper discusses these concepts in detail, reviews existing work in different application areas, and highlights current trends and open research lines

Locating emergency services with priority rules: The priority queuing covering location problem

One of the assumptions of the Capacitated Facility Location Problem (CFLP) is that demand is known and fixed. Most often, this is not the case when managers take some strategic decisions such as locating facilities and assigning demand points to those facilities. In this paper we consider demand as stochastic and we model each of the facilities as an independent queue. Stochastic models of manufacturing systems and deterministic location models are put together in order to obtain a formula for the backlogging probability at a potential facility location. Several solution techniques have been proposed to solve the CFLP. One of the most recently proposed heuristics, a Reactive Greedy Adaptive Search Procedure, is implemented in order to solve the model formulated. We present some computational experiments in order to evaluate the heuristics’ performance and to illustrate the use of this new formulation for the CFLP. The paper finishes with a simple simulation exercise.Location, queuing, greedy heuristics, simulation

Distribution planning in a weather-dependent scenario with stochastic travel times: a simheuristics approach

In real-life logistics, distribution plans might be affected by weather conditions (rain, snow, and fog), since they might have a significant effect on traveling times and, therefore, on total distribution costs. In this paper, the distribution problem is modeled as a multi-depot vehicle routing problem with stochastic traveling times. These traveling times are not only stochastic in nature but the specific probability distribution used to model them depends on the particular weather conditions on the delivery day. In order to solve the aforementioned problem, a simheuristic approach combining simulation within a biased-randomized heuristic framework is proposed. As the computational experiments will show, our simulation-optimization algorithm is able to provide high-quality solutions to this NP-hard problem in short computing times even for large-scale instances. From a managerial perspective, such a tool can be very useful in practical applications since it helps to increase the efficiency of the logistics and transportation operations.Peer ReviewedPostprint (published version

Distribution planning in a weather-dependent scenario with stochastic travel times: a simheuristics approach

In real-life logistics, distribution plans might be affected by weather conditions (rain, snow, and fog), since they might have a significant effect on traveling times and, therefore, on total distribution costs. In this paper, the distribution problem is modeled as a multi-depot vehicle routing problem with stochastic traveling times. These traveling times are not only stochastic in nature but the specific probability distribution used to model them depends on the particular weather conditions on the delivery day. In order to solve the aforementioned problem, a simheuristic approach combining simulation within a biased-randomized heuristic framework is proposed. As the computational experiments will show, our simulation-optimization algorithm is able to provide high-quality solutions to this NP-hard problem in short computing times even for large-scale instances. From a managerial perspective, such a tool can be very useful in practical applications since it helps to increase the efficiency of the logistics and transportation operations.Peer ReviewedPostprint (published version

The two-echelon capacitated vehicle routing problem: models and math-based heuristics

Multiechelon distribution systems are quite common in supply-chain and logistics. They are used by public administrations in their transportation and traffic planning strategies, as well as by companies, to model own distribution systems. In the literature, most of the studies address issues relating to the movement of flows throughout the system from their origins to their final destinations. Another recent trend is to focus on the management of the vehicle fleets required to provide transportation among different echelons. The aim of this paper is twofold. First, it introduces the family of two-echelon vehicle routing problems (VRPs), a term that broadly covers such settings, where the delivery from one or more depots to customers is managed by routing and consolidating freight through intermediate depots. Second, it considers in detail the basic version of two-echelon VRPs, the two-echelon capacitated VRP, which is an extension of the classical VRP in which the delivery is compulsorily delivered through intermediate depots, named satellites. A mathematical model for two-echelon capacitated VRP, some valid inequalities, and two math-heuristics based on the model are presented. Computational results of up to 50 customers and four satellites show the effectiveness of the methods developed

A Cross Entropy-Based Heuristic for the Capacitated Multi-Source Weber Problem with Facility Fixed Cost: Cross entropy for continuous location problems

This paper investigates a capacitated planar location-allocation problem with facility fixed cost. A zone-based fixed cost which consists of production and installation costs is considered. A nonlinear and mixed integer formulation is first presented. A powerful three stage Cross Entropy meta-heuristic with novel density functions is proposed. In the first stage a covering location problem providing a multivariate normal density function for the associated stochastic problem is solved. The allocation values considering a multinomial density function are obtained in the second stage. In the third stage, single facility continuous location problems are solved. Several instances of various sizes are used to assess the performance of the proposed meta-heuristic. Our approach performs well when compared with the optimizer GAMS which is used to provide the optimal solution for small size instances and lower/upper bounds for some of the larger ones

Una comparación de algoritmos basados en trayectoria granular para el problema de localización y ruteo con flota heterogénea (LRPH)

Indexación: Scopus.We consider the Location-Routing Problem with Heterogeneous Fleet (LRPH) in which the goal is to determine the depots to be opened, the customers to be assigned to each open depot, and the corresponding routes fulfilling the demand of the customers and by considering a heterogeneous fleet. We propose a comparison of granular approaches of Simulated Annealing (GSA), of Variable Neighborhood Search (GVNS) and of a probabilistic Tabu Search (pGTS) for the LRPH. Thus, the proposed approaches consider a subset of the search space in which non-favorable movements are discarded regarding a granularity factor. The proposed algorithms are experimentally compared for the solution of the LRPH, by taking into account the CPU time and the quality of the solutions obtained on the instances adapted from the literature. The computational results show that algorithm GSA is able to obtain high quality solutions within short CPU times, improving the results obtained by the other proposed approaches.https://revistas.unal.edu.co/index.php/dyna/article/view/55533/5896

A computational comparison of several formulations for the multi-period incremental service facility location problem

The Multi-period Incremental Service Facility Location Problem, which was recently introduced, is a strategic problem for timing the location of facilities and the assignment of customers to facilities in a multi-period environment. Aiming at finding the strongest formulation for this problem, in this work we study three alternative formulations based on the so-called impulse variables and step variables. To this end, an extensive computational comparison is performed. As a conclusion, the hybrid impulse–step formulation provides better computational results than any of the other two formulations

A Design Methodology to Optimize Supply Chain Network Performance

Organizations are constantly looking for new ways to reduce costs while still providing high customer service levels to face stringent competitive environments and the ever- increasing market globalization. An alternative these organizations can pursue to respond to these challenges and to gain a competitive differentiation is to optimize their supply chain network (SCN). This research aims to develop an effective SCN design strategy to locate facilities (i.e., plants and distribution centers) and to balance the allocation of customers to these facilities to satisfy capacity limitations and customer demands with minimum total cost and maximum level of service. It is anticipated that the results of this research will improve the strategic decision making of a manufacturing firm when locating facilities or redesigning the SCN and allow decision makers to determine tradeoffs among the organization’s conflicting criteria