Following the elucidation of the significance of path planning for logistics enterprises, this article undertakes an exhaustive examination of the extant research on distribution center location selection and the application of the two-layer model. This provides a pertinent research foundation for the subsequent analysis presented in this article.
Distribution Center Site Selection Study
Logistics distribution center site selection models are classified into three primary types: (1) continuous models; (2) discrete models; and (3) expert consultation methods.
The continuous model approach to site selection posits that the distribution center’s alternative location can be chosen freely, unencumbered by the constraints of intricate terrains and landscapes like rivers, lakes, and mountains. A principal method within this category encompasses the center of gravity (Boyacı & Şişman, 2022). While the continuous model demonstrates flexibility and finds widespread use, real-world applications often encounter challenges. For instance, the center of gravity method may propose new distribution centers in unsuitable areas due to complex topography, leading to high costs for establishing new distribution centers. Decision-makers, after considering various factors, may need to discard initially identified optimal solutions, thereby contributing to wasted time. Brimberg and Mehrez (1994) were pioneers in formulating the site selection problem at a single location, known as the Weber problem. Weber’s mathematical model aimed to minimize the distance from the new warehouse to each customer, marking the initiation of site selection theory research. Building upon previous literature, the Weber problem has been enhanced, utilizing the circularity principle to correct the initially chosen distribution center location and achieve an extremely small sum of distances.
Contrarily, the discrete model approach to site selection posits that the location of a distribution center is discontinuous. Decision-makers identify a limited number of alternative addresses suitable for a new distribution center based on local information and site visits. Discrete models are formulated to minimize model costs, similar to the Weiszfeld method. Prominent discrete models include the Kuehn-Hamburger model (Kuehn & Hamburger, 1963), the Baumol-Wolfe model (Baumol & Wolfe, 1958), and the Elson model (Roehlen et al., 2022). Aikens (1985) developed nine distinct mathematical models based on various objectives and costs, providing solutions to various siting problems, including dynamic regularization and the 0-1 model.
While the continuous model and discrete model provide some guidance, persistent issues like high model complexity and limited solutions remain. Consequently, further research is imperative for the location selection of distribution centers, aiming to enhance the accuracy and practicality of these models. Potential research directions include, but are not limited to: optimizing existing models to address practical application challenges; developing new site selection models that consider a broader array of factors and constraints; and integrating expert consultation methods by incorporating expert knowledge and experience to enhance the model’s reliability and applicability.
In summary, comprehensive and in-depth research is essential for the location selection of distribution centers to propel the advancement of this field and tackle challenges in practical applications.