Capacitated Facility Location With Distance-Dependent Coverage Under Demand Uncertainty

Authors: 
Maged M. Dessouky
Fernando Ordonez
Pavankumar Murali
Description/Abstract: 
We consider a facility location problem to determine the points of dispensing medicine or supplies in a large-scale emergency. For this problem we consider ca- pacitated facilities, a distance-dependent coverage function, and demand uncertainty. We formulate a special case of the maximal covering location problem (MCLP) with a loss function, to account for the distance-sensitive demand, and chance-constraints to address the demand uncertainty. This model decides both the locations to open and the supplies assigned to each location. We solve this problem with a locate-allocate heuristic. We illustrate the use of the model by solving a case study of locating facilities to address a large-scale emergency (an anthrax attack) in Los Angeles County.