Abstract
This paper characterizes the complete set of alternate optimal solutions in a model for multi-echelon, multi-capacitated supply chain design. The supply chain under consideration has a given finite set of customer zones with known demands and a finite set of potential facility (plant and warehouse) locations. If a facility is built at a potential location, the capacity level is selected from a finite set of capacity levels. The design problem is to choose the locations and capacity levels at which the facilities are to be built; and to determine the flow of goods from plants to warehouses to customers in order to minimize costs. Specifically, we characterize the complete set of alternate optimal solutions in the well-known model presented by Amiri (2006). We extend Amiri’s model through the addition of a constraint set that eliminates certain undesirable optimal solutions and we show that the extended model requires, essentially, the same computational effort as the original.
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