IDEAS home Printed from https://ideas.repec.org/a/hin/jnlmpe/682402.html
   My bibliography  Save this article

Incremental Optimization of Hub and Spoke Network for the Spokes’ Numbers and Flow

Author

Listed:
  • Yanfeng Wang
  • Youfang Huang

Abstract

Hub and spoke network problem is solved as part of a strategic decision making process which may have a profound effect on the future of enterprises. In view of the existing network structure, as time goes on, the number of spokes and the flow change because of different sources of uncertainty. Hence, the incremental optimization of hub and spoke network problem is considered in this paper, and the policy makers should adopt a series of strategies to cope with the change, such as setting up new hubs, adjusting the capacity level of original hubs, or closing some original hubs. The objective is to minimize the total cost, which includes the setup costs for the new hubs, the closure costs, and the adjustment costs for the original hubs as well as the flow routing costs. Two mixed-integer linear programming formulations are proposed and analyzed for this problem. China Deppon Logistics as an example is performed to present computational analysis, and we analyze the changes in the solutions driven by the number of spokes and the flow. The tests also allow an analysis to consider the effect of variation in parameters on network.

Suggested Citation

  • Yanfeng Wang & Youfang Huang, 2015. "Incremental Optimization of Hub and Spoke Network for the Spokes’ Numbers and Flow," Mathematical Problems in Engineering, Hindawi, vol. 2015, pages 1-12, October.
    • Handle: RePEc:hin:jnlmpe:682402
    DOI: 10.1155/2015/682402
    as

    Download full text from publisher

    File URL: http://downloads.hindawi.com/journals/MPE/2015/682402.pdf
    Download Restriction: no
    File URL: http://downloads.hindawi.com/journals/MPE/2015/682402.xml
    Download Restriction: no
    File URL: https://libkey.io/10.1155/2015/682402?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hin:jnlmpe:682402. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Mohamed Abdelhakeem (email available below). General contact details of provider: https://www.hindawi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.