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Abstract
In this paper, we study the multi-source capacitated plant location problem with customer and supplier matching. A distribution and a supply trip are merged into one triangular trip for saving transportation and allocation costs. Vehicles from plants visit a customer and a supplier for each trip, but each customer can be related to more than one plant and supplier. It is formulated as a mixed integer linear programming problem, and the Lagrangian relaxation is used to solve it. Our computational experiments on several randomly generated test problems confirm the effectiveness of the Lagrangian relaxation approach.
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