Location of multi-server congestible facilities for maximizing expected demand, when services are non-essential

Location of multi-server congestible facilities for maximizing expected demand, when services are non-essential

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Article ID: iaor20042494
Country: Netherlands
Volume: 123
Issue: Oct
Start Page Number: 125
End Page Number: 141
Publication Date: Jan 2003
Journal: Annals of Operations Research
Authors:
Keywords: congestion
Abstract:

We formulate a model for locating multiple-server, congestible facilities. Locations of these facilities maximize total expected demand attended over the region. The effective demand at each node is elastic to the travel time to the facility, and to the congestion at that facility. The facilities to be located are fixed, so customers travel to them in order to receive service or goods, and the demand curves at each demand node (which depend on the travel time and the queue length at the facility), are known. We propose a heuristic for the resulting integer, nonlinear formulation, and provide computational experience.

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