2014
DOI: 10.1007/s40092-014-0050-1
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Distribution network design under demand uncertainty using genetic algorithm and Monte Carlo simulation approach: a case study in pharmaceutical industry

Abstract: Distribution network design as a strategic decision has long-term effect on tactical and operational supply chain management. In this research, the locationallocation problem is studied under demand uncertainty. The purposes of this study were to specify the optimal number and location of distribution centers and to determine the allocation of customer demands to distribution centers. The main feature of this research is solving the model with unknown demand function which is suitable with the real-world probl… Show more

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Cited by 10 publications
(5 citation statements)
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References 27 publications
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“…(2009) present a solution procedure based on a steady‐state genetic algorithm with a new encoding structure for the design of a single‐source, multiproduct, multistage supply chain network and extend the priority‐based encoding of the transportation tree to a multiproduct case, Firoozi et al. (2013) solve a three‐level hierarchical supply chain that is modeled as a nonlinear MIP using a genetic algorithm, and Izadi and Kimiagari (2014) solve the location–allocation problem with an unknown demand function using a genetic algorithm and a Monte Carlo simulation approach.…”
Section: Problem Description and Prior Workmentioning
confidence: 99%
“…(2009) present a solution procedure based on a steady‐state genetic algorithm with a new encoding structure for the design of a single‐source, multiproduct, multistage supply chain network and extend the priority‐based encoding of the transportation tree to a multiproduct case, Firoozi et al. (2013) solve a three‐level hierarchical supply chain that is modeled as a nonlinear MIP using a genetic algorithm, and Izadi and Kimiagari (2014) solve the location–allocation problem with an unknown demand function using a genetic algorithm and a Monte Carlo simulation approach.…”
Section: Problem Description and Prior Workmentioning
confidence: 99%
“…Other studies utilized a process simulator developed in MATLAB for optimization of Generalized Predictive Control (GPC) tuning parameters [33]. Izadi and Kimiagari were able to specify the optimal number and location of distribution centers to determine the allocation of customer demand to DC with a model based on Monte Carlo Simulation [34]. Chackelson use a discrete event simulation model to evaluate order picking performance in a warehouse operation and propose a new picking design process to improve performance [35].…”
Section: The Selected Approachmentioning
confidence: 99%
“…The facility location problems have been formulated and solved mathematically using a variety of methodologies and solution techniques based on the use of various objective functions to reduce costs while improving access to healthcare services 17 19 . The literature contains a comprehensive review of healthcare location decisions 20 22 .…”
Section: Introductionmentioning
confidence: 99%