Two-Objective Mathematical Model Considering Competitive Location, Distribution Scheduling and Priority Demand Points under Uncertainty

Abstract

In the last two decades, competition between companies in the supply of goods and services has become a great reality for their development. Today, companies and factories need to integrate and flex all production activities from the supply of raw materials to the delivery of the final product to the consumer, in the process of supply and distribution of products. Distribution and support systems are part of the supply chain process, so that the efficient and efficient flow of storage of goods, services and related information is planned, implemented and controlled from the starting point to the point of consumption in order to meet customer needs. The problem of locating distribution centers focuses on how to select distribution centers from a potential set so that the relevant total costs are minimized. This study aims to minimize transportation costs in the supply chain by choosing the best way to deliver the product to the customer and location costs. In this model, a multi-objective function is used, which in the first objective seeks to maximize the profit from sales, and the second objective function seeks to minimize the distribution schedule.