Facility Location Models

This chapter introduces the formulation and numerical applications of three basic location mathematical models: single-facility, location-allocation, and quadratic assignment models. In the first class of models, it is desired to find the location of a new facility given its interaction (number of trips) with a group of existing facilities. In the second class of models, it is desired to determine the number and location of new facilities, as well as the allocation of the existing facilities among the new ones. In the third class of models, several facilities are located given the interaction among the facilities (number of trips) and the distance between the potential sites, in such a way that each facility is located exactly once, and each site accommodates exactly one facility. Heuristic procedures for solving this model are described and illustrated.