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Hub location problems in transportation networks
Authors:Shahin Gelareh  Stefan Nickel
Affiliation:aDepartment of Management Engineering, Technical University of Denmark, Produktionstorvet, Building 426, 2800 Kgs. Lyngby, Denmark;bInstitut für Operations Research, Universität Karlsruhe, D-76128 Karlsruhe, Germany;cDepartment of Optimization, Fraunhofer Institute for Industrial Mathematics (ITWM), D 67663 Kaiserslautern, Germany;dLAGIS FRE CNRS 3303, Ecole Polytechnique de Lille, Avenue Paul Langevin, 59655 Villeneuve d’Ascq, France
Abstract:In this paper we propose a 4-index formulation for the uncapacitated multiple allocation hub location problem tailored for urban transport and liner shipping network design. This formulation is very tight and most of the tractable instances for MIP solvers are optimally solvable at the root node. While the existing state-of-the-art MIP solvers fail to solve even small size instances of problem, our accelerated and efficient primal (Benders) decomposition solves larger ones. In addition, a very efficient greedy heuristic, proven to be capable of obtaining high quality solutions, is proposed. We also introduce fixed cost values for Australian Post (AP) dataset.
Keywords:Integer programming   Hub location   Urban transportation   Liner shipping   Decomposition   Lagrangian relaxation   Local search
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