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The Optimization of the Location of Front Distribution Centre: A Spatio-Temporal Joint Perspective

Chen, Linlin; Han, Shuihua; Ye, Zhen; Xia, Senmao; (2022) The Optimization of the Location of Front Distribution Centre: A Spatio-Temporal Joint Perspective. International Journal of Production Economics , 263 , Article 108950. 10.1016/j.ijpe.2023.108950. Green open access

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Abstract

Front Distribution Centre (FDC) is a new terminal warehouse which is closer to customers, with its location selection being crucial for e-commerce and customer time satisfaction. We introduce in this paper a joint distribution function of demand based on time and space, which constructs two spatio-time models: spatio-time clustering model and spatio-time optimisation model. A staged clustering algorithm is designed to obtain the candidate FDCs, and an intelligent algorithm based on NSGA-Ⅱ (Non-dominated Sorting Genetic Algorithm II) is applied to determine the final FDCs, in which the location selection problem is formulated as a bi-objective programming model to minimise total costs and maximise customer time satisfaction. Our results indicate that the model considering spatio-temporal joint attribute of demand performs better than the traditional spatial model. Furthermore, when compared with the k-means clustering algorithm, Multi-Objective Evolutionary Algorithm based on Decomposition (MOEA/D) and its improved algorithm Multi-Objective Evolutionary Algorithm based on the Adaptive Neighborhood Adjustment strategy (MOEA/D-ANA), Multi-Objective Particle Swarm Optimisation” (MOPSO) and its enhancing algorithm Competitive Multi-Objective Particle Swarm Optimiser (CMOPSO), the solving method based on staged clustering and NSGA-II absolutely performs more stable and can get a greater number of pareto-optimal solutions with higher qualities. Especially when compared with K-means clustering algorithms, it can reduce total costs by up to 38.84% and improve customer time satisfaction by up to 36.22%.

Type: Article
Title: The Optimization of the Location of Front Distribution Centre: A Spatio-Temporal Joint Perspective
Open access status: An open access version is available from UCL Discovery
DOI: 10.1016/j.ijpe.2023.108950
Publisher version: https://doi.org/10.1016/j.ijpe.2023.108950
Language: English
Additional information: © 2023 The Authors. Published by Elsevier B.V. under a Creative Commons license (http://creativecommons.org/licenses/by/4.0/).
Keywords: Front distribution centre (FDC), Location selection, Bi-objective programming, Time distribution, Spatio-temporal joint perspective
UCL classification: UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of the Built Environment
UCL > Provost and Vice Provost Offices > UCL BEAMS
UCL
URI: https://discovery-pp.ucl.ac.uk/id/eprint/10158665
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