Stochastic Facilities location Model by Using Stochastic Programming

Subject Areas : Business Strategy

Ali Gholinezhad Devin ¹ , Saeed Fayyaz ² , Reza Sadeghi ³

1 - Sadjad Institute of Higher Education, Mashhad, Iran
2 - Industrial Department, Statistical Center of Iran (SCI)
3 - Imam Reza International University, Mashhad, Iran

Received: 2014-09-01 Accepted : 2014-11-01 Published : 2015-10-01

Keywords: Location problem, stochastic location, stochastic modeling, stochastic constraint, Meta heuristic algorithms, service level,

Abstract :

Finding the location for plans like factories or warehousesfor any organization is an important and strategic decision. Costs oftransportation which are the main part of the price of the goods, is thefunction of the location of these projects. to find the optimum locationof these projects, there have been various methods proposed which areusually defined (not random). In reality and in dealing with real worldconditions, taking into account influential and effective parameters leadsto unexpected results. In this research, while introducing these definedalgorithms, it been tried to random location model based on the existingmodels. Regarding this, by studying the models taken in randomlocation we tried to propose an efficient and effective model. For thispurpose, by using randomized planning and randomized constrainedplanning, we turn random model to defined model, which is solvable byusing the last algorithm or standard planning methods.