In this article we propose, for any ε > 0, a 2(1 + ε)-approximation algorithm for a facility location problem with stochastic demands. At open facilities, inventory is kept such that arriving requests find a zero inventory with (at most) some pre-specified probability. The incurred costs are the expected transportation costs from the demand points to the facilities, the operating costs of the facilities and the investment in inventory.
AMS Classification: 68W25, 90B06, 60K30.
|Title of host publication||Algorithmic Applications in Management |
|Subtitle of host publication||First International Conference, AAIM 2005, Xian, China, June 22-25, 2005. Proceedings|
|Editors||N. Megiddo, Yinfeng Xu, Binhai Zhu|
|Place of Publication||Berlin|
|Number of pages||10|
|ISBN (Print)||3-540-26224-5, 978-3-540-26224-4|
|Publication status||Published - 2005|
|Name||Lecture Notes in Computer Science (LNCS)|