Reliable Incomplete Hub-and-Spoke Network Design Model

doi:10.3969/j.issn.1007-7375.2023.01.018

Abstract

Abstract: Hub disruptions in the incomplete hub-and-spoke network will lead to a substantial increase of the network transportation cost. The study of a reliable incomplete hub-and-spoke network design model is helpful to counter the adverse effects of hub disruptions. To design a reliable incomplete hub-and-spoke network, based on the incomplete hub-and-spoke network design model, for the two modes of demand allocation after hub disruption, models of reliable incomplete hub-and-spoke network design problem were built and linearized. A numerical example was given to validate the effectiveness of the models. Results show that the node with the most demand is always selected as hub. Backup hubs and allocation schemes may be different under different modes. From the manager’s point of view, the SB mode is adopted, in order to reduce the difficulty of management. From the traveler’s point of view, the MB mode should be adopted, in order to reduce the transportation cost. For incomplete hub-and-spoke network, it is necessary to consider hub disruption to design a reliable network. Because under normal circumstances, the transportation cost of reliable incomplete network is more than that of incomplete network without considering hub disruption (no more than 5%, and the denser the network, the less the difference). However, after hub disruption, unconnected circumstance after hub disruption in RIHNDP is avoided. The transportation cost of RIHNDP is less than that of incomplete network without considering hub disruption.

Key words: network design, hub location problem, hub-and-spoke network, incomplete, reliable

CLC Number:

U113

LI Tingting, ZHANG Yongbo. Reliable Incomplete Hub-and-Spoke Network Design Model[J]. Industrial Engineering Journal, 2023, 26(1): 153-161.

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