Hub-and-spoke network design with congestion |
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| Affiliation: | 1. Concordia University, Montreal H3G 1M8, Canada;2. Interuniversity Research Centre on Enterprise Networks, Logistics and Transportation (CIRRELT), Montreal, Canada;3. HEC Montréal, Montreal, Canada;4. Department of Industrial Engineering, Tarbiat Modares University, Tehran, Iran;1. Department of Industrial Engineering, Federal University of Minas Gerais, Brazil;2. Department of Mechanical and Industrial Engineering, Concordia University, Canada;3. Department of Logistics and Operations Management, HEC Montréal, Canada;1. School of Industrial Engineering, College of Engineering, University of Tehran, Tehran, Iran;2. LCFC, Arts et Métier Paris Tech, Metz, France |
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| Abstract: | We consider a hub-and-spoke network design problem with congestion. The model we propose extends current models by taking congestion effects into account. This is achieved through a non-linear cost term in the objective function. We first linearize the model, and then provide a Lagrangean heuristic that finds high-quality solutions within reasonable computational time. The results of the model provide new and realistic insights into the hub-and-spoke network design problem. |
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