On Solving the Multi-period Single-sourcing Problem Under Uncertainty

A. Alonso-Ayuso, Laureano F. Escudero, C. Pizarro, H. Edwin Romeijn, Dolores Romero Morales

Research output: Contribution to journalJournal articleResearchpeer-review

Abstract

We present a framework for solving the strategic problem of assigning retailers to facilities in a multi-period single-sourcing product environment under uncertainty in the demand from the retailers and the cost of production, inventory holding, backlogging and distribution of the product. By considering a splitting variable mathematical representation of the Deterministic Equivalent Model, we specialize the so-called Branch-and-Fix Coordination algorithmic framework. It exploits the structure of the model and, specifically, the non-anticipativity constraints for the assignment variables. The algorithm uses the Twin Node Family (TNF) concept. Our procedure is specifically designed for coordinating the selection of the branching TNF and the branching S3 set, such that the non-anticipativity constraints are satisfied. Some computational experience is reported.
We present a framework for solving the strategic problem of assigning retailers to facilities in a multi-period single-sourcing product environment under uncertainty in the demand from the retailers and the cost of production, inventory holding, backlogging and distribution of the product. By considering a splitting variable mathematical representation of the Deterministic Equivalent Model, we specialize the so-called Branch-and-Fix Coordination algorithmic framework. It exploits the structure of the model and, specifically, the non-anticipativity constraints for the assignment variables. The algorithm uses the Twin Node Family (TNF) concept. Our procedure is specifically designed for coordinating the selection of the branching TNF and the branching S3 set, such that the non-anticipativity constraints are satisfied. Some computational experience is reported.
LanguageEnglish
JournalComputational Management Science
Volume3
Issue number1
Pages29-53
ISSN1619-697X
DOIs
StatePublished - 2006
Externally publishedYes

Keywords

    Cite this

    Alonso-Ayuso, A. ; Escudero, Laureano F. ; Pizarro, C. ; Romeijn, H. Edwin ; Morales, Dolores Romero. / On Solving the Multi-period Single-sourcing Problem Under Uncertainty. In: Computational Management Science. 2006 ; Vol. 3, No. 1. pp. 29-53
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    title = "On Solving the Multi-period Single-sourcing Problem Under Uncertainty",
    abstract = "We present a framework for solving the strategic problem of assigning retailers to facilities in a multi-period single-sourcing product environment under uncertainty in the demand from the retailers and the cost of production, inventory holding, backlogging and distribution of the product. By considering a splitting variable mathematical representation of the Deterministic Equivalent Model, we specialize the so-called Branch-and-Fix Coordination algorithmic framework. It exploits the structure of the model and, specifically, the non-anticipativity constraints for the assignment variables. The algorithm uses the Twin Node Family (TNF) concept. Our procedure is specifically designed for coordinating the selection of the branching TNF and the branching S3 set, such that the non-anticipativity constraints are satisfied. Some computational experience is reported.",
    keywords = "Two-stage stochastic, mixed 0-1 programs, Non-anticipativity constraints, Splitting variables, Twin node family, Branch-and-fix coordination, Fix-and-relax coordination",
    author = "A. Alonso-Ayuso and Escudero, {Laureano F.} and C. Pizarro and Romeijn, {H. Edwin} and Morales, {Dolores Romero}",
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    Alonso-Ayuso, A, Escudero, LF, Pizarro, C, Romeijn, HE & Morales, DR 2006, 'On Solving the Multi-period Single-sourcing Problem Under Uncertainty' Computational Management Science, vol. 3, no. 1, pp. 29-53. DOI: 10.1007/s10287-005-0043-z

    On Solving the Multi-period Single-sourcing Problem Under Uncertainty. / Alonso-Ayuso, A.; Escudero, Laureano F.; Pizarro, C.; Romeijn, H. Edwin; Morales, Dolores Romero.

    In: Computational Management Science, Vol. 3, No. 1, 2006, p. 29-53.

    Research output: Contribution to journalJournal articleResearchpeer-review

    TY - JOUR

    T1 - On Solving the Multi-period Single-sourcing Problem Under Uncertainty

    AU - Alonso-Ayuso,A.

    AU - Escudero,Laureano F.

    AU - Pizarro,C.

    AU - Romeijn,H. Edwin

    AU - Morales,Dolores Romero

    PY - 2006

    Y1 - 2006

    N2 - We present a framework for solving the strategic problem of assigning retailers to facilities in a multi-period single-sourcing product environment under uncertainty in the demand from the retailers and the cost of production, inventory holding, backlogging and distribution of the product. By considering a splitting variable mathematical representation of the Deterministic Equivalent Model, we specialize the so-called Branch-and-Fix Coordination algorithmic framework. It exploits the structure of the model and, specifically, the non-anticipativity constraints for the assignment variables. The algorithm uses the Twin Node Family (TNF) concept. Our procedure is specifically designed for coordinating the selection of the branching TNF and the branching S3 set, such that the non-anticipativity constraints are satisfied. Some computational experience is reported.

    AB - We present a framework for solving the strategic problem of assigning retailers to facilities in a multi-period single-sourcing product environment under uncertainty in the demand from the retailers and the cost of production, inventory holding, backlogging and distribution of the product. By considering a splitting variable mathematical representation of the Deterministic Equivalent Model, we specialize the so-called Branch-and-Fix Coordination algorithmic framework. It exploits the structure of the model and, specifically, the non-anticipativity constraints for the assignment variables. The algorithm uses the Twin Node Family (TNF) concept. Our procedure is specifically designed for coordinating the selection of the branching TNF and the branching S3 set, such that the non-anticipativity constraints are satisfied. Some computational experience is reported.

    KW - Two-stage stochastic

    KW - mixed 0-1 programs

    KW - Non-anticipativity constraints

    KW - Splitting variables

    KW - Twin node family

    KW - Branch-and-fix coordination

    KW - Fix-and-relax coordination

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    DO - 10.1007/s10287-005-0043-z

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    JO - Computational Management Science

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    Alonso-Ayuso A, Escudero LF, Pizarro C, Romeijn HE, Morales DR. On Solving the Multi-period Single-sourcing Problem Under Uncertainty. Computational Management Science. 2006;3(1):29-53. Available from, DOI: 10.1007/s10287-005-0043-z