Lower and upper bounds for the two-echelon capacitated location-routing problem |
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Authors: | Claudio Contardo Vera Hemmelmayr Teodor Gabriel Crainic |
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Affiliation: | 1. Centre interuniversitaire de recherche sur les réseaux d''entreprise, la logistique et le transport (CIRRELT), C.P. 6128, succ. Centre-ville, Montréal (PQ), Canada H3C 3J7;2. École des sciences de la gestion, UQAM, 315 Ste-Catherine Est, Montréal, Canada H2X 3X2;3. Institute for Transport and Logistics Management, WU, Vienna University of Economics and Business Nordbergstraß 15/D/6/621 C, 1090 Vienna, Austria |
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Abstract: | In this paper, we introduce two algorithms to address the two-echelon capacitated location-routing problem (2E-CLRP). We introduce a branch-and-cut algorithm based on the solution of a new two-index vehicle-flow formulation, which is strengthened with several families of valid inequalities. We also propose an adaptive large-neighbourhood search (ALNS) meta-heuristic with the objective of finding good-quality solutions quickly. The computational results on a large set of instances from the literature show that the ALNS outperforms existing heuristics. Furthermore, the branch-and-cut method provides tight lower bounds and is able to solve small- and medium-size instances to optimality within reasonable computing times. |
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Keywords: | Two-echelon capacitated location routing problem Adaptive large neighbourhood search Branch-and-cut |
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