Chapter 5 Location and Distribution Decisions in Supply Chains

4 Chapter 5 (Location and Distribution Decisions in Supply Chains) 

This chapter focuses on location and distribution strategies for designing and operating the supply chain network. It begins with an introduction to the formulation of integer programming models, in particular the use of binary (0-1) variables in modeling real-world problems. 

Next we apply these integer programming models to different supply chain network optimization problems, including warehouse location, network design, and distribution problems. The topic of risk pooling or inventory consolidation is presented next. In this portion of the chapter. 

Next we present some basic results in continuous location models and how they relate to supply chain network design. We conclude the chapter by discussing several real-world applications of integer programming models used successfully in supply chain network design and distribuhon problems. 

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