Abstract
This paper studies the problem of assigning multiple concentrators to each terminal site in a centralized teleprocessing network. This problem requires that each terminal in the network be covered by more than one concentrator to provide increased reliability. We formulate the problem as an extension of the single-source capacitated warehouse location model and solve it using a subgradient algorithm. The subgradient optimization algorithm uses the Lagrangian relaxation technique to generate lower bounds on the optimal objective value. Upper bounds are generated by using a heuristic procedure that modifies the Lagrangian solution to attain feasibility. The algorithm has been tested on several hundred problems with variable dimensions of up to 1000 terminals, 100 concentrators, and five coverages. Computational experience indicates that our approach is extremely effective for obtaining near-optimal solutions. Most problems converged within 0.05 percent; of the optimum and required very little computational effort on an IBM 3090.
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