The multiple server location problem

In this paper, we introduce the Multiple Server location problem. A given number of servers are to be located at nodes of a network. Demand for these servers is generated at each node, and a subset of nodes need to be selected for locating one or more servers in each. There is no limit on the number of servers that can be established at each node. Each customer at a node selects the closest server (with demand divided equally when the closest distance is measured to more than one node). The objective is to minimize the sum of the travel time and the average time spent at the server, for all customers. The problem is formulated and analysed. Results using heuristic solution procedures: descent, simulated annealing, tabu search and a genetic algorithm are reported. The problem turns out to be a very difficult combinatorial problem when the total demand is very close to the total capacity of the servers.