PARAMETRIC UNCAPACITATED FACILITY LOCATION

Abstract

We consider the parametric Uncapacitated Facility Location Problem (UFLP) where the demand of each customer is allowed to vary over a certain interval. Despite the value of parametric analysis, no such efforts are found for the UFLP, that mainly seems to be due to the fact that parametric analysis usually requires the computation of a number of UFLP's with heavy computational burden. In this paper, we will show that the special structure of the UFLP provides a nice property for its parametric version, based on which an efficient branch and bound procedure for the parametric analysis is developed.