Modeling of location-distribution considering customers with different priorities by a lexicographic approach


Faculty of Engineering, Department of Industrial Engineering, Shahed University, Tehran, Iran


In this paper a multi-echelon location-distribution problem is modeled considering customer priorities.A lexicographic approach is implemented to determine the most preferred distribution path according to the customers’ priorities.Predetermined number of trucks moved from depots and satellitesis considered in the proposed model. The results show that the proposed approach can better consider the customers with different priorities while more important customers will have less total costs compared tothe classic approach. Moreover, the sensitivity analysis has been donefor discovering of related parameters effects in the model.