Journal
NETWORKS & SPATIAL ECONOMICS
Volume 13, Issue 1, Pages 107-122Publisher
SPRINGER
DOI: 10.1007/s11067-012-9174-2
Keywords
Inventory; Location; Joint replenishment
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We introduce a distribution center location model that incorporates joint replenishment inventory costs at the distribution centers. The model is formulated as a Fixed Charge Location Problem (FCLP) which objectively considers not only location specific costs but also inventory replenishment costs. In the joint replenishment problem we consider a single item and several distribution centers in different locations and apply a similar algorithm to the one used to solve the multi-item problem. We propose a Greedy Randomized Adaptive Search Procedure (GRASP) to solve the problem.
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