Location of Multiple Server Common Service Centers or Public Facilities for Minimizing General Congestion and Travel Cost Functions

UPF Economics and Business Working Paper No. 658

30 Pages Posted: 5 Jan 2004

See all articles by Vladimir Marianov

Vladimir Marianov

Pontificia Universidad Catolica de Chile

Daniel Serra

Universitat Pompeu Fabra - Faculty of Economic and Business Sciences

Abstract

We propose a model and solution methods, for locating a fixed number of multiple-server, congestible common service centers or congestible public facilities. Locations are chosen so to minimize consumers' congestion (or queuing) and travel costs, considering that all the demand must be served. Customers choose the facilities to which they travel in order to receive service at minimum travel and congestion cost. As a proxy for this criterion, total travel and waiting costs are minimized. The travel cost is a general function of the origin and destination of the demand, while the congestion cost is a general function of the number of customers in queue at the facilities.

Keywords: Location modelling, congestion costs

JEL Classification: C61, J80

Suggested Citation

Marianov, Vladimir and Serra, Daniel, Location of Multiple Server Common Service Centers or Public Facilities for Minimizing General Congestion and Travel Cost Functions. UPF Economics and Business Working Paper No. 658. Available at SSRN: https://ssrn.com/abstract=394924 or http://dx.doi.org/10.2139/ssrn.394924

Vladimir Marianov

Pontificia Universidad Catolica de Chile ( email )

Av. Vicuna Mackenna 4860
Department of Electrical Engineering
Santiago
Chile
(562) 354 4974 (Phone)
(562) 552 2563 (Fax)

Daniel Serra (Contact Author)

Universitat Pompeu Fabra - Faculty of Economic and Business Sciences ( email )

Ramon Trias Fargas 25-27
Barcelona, 08005
Spain
(34) 93 542 16 66 (Phone)
(34) 93 542 17 46 (Fax)

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