A closed loop logistic network design for third party provider: A robust optimization approach

In strategic design of the third party logistics (3PLs)provider, uncertainty is one of the traits which have to take into account. In this paper, a closed loop logistic network (CLN) is designed for 3PLs provider with uncertain data in the robust optimization (RO) modeling approach. First, a deterministic (Det) mixed-integer linear programming (MILP) is proposed, and then the RO model is presented. At the end, under realizations of worst and best case for optimality and random realizations for feasibility, the optimality and feasibility of RO and Det model is evaluated. The results show the prominence of RO model in both of them