Full Access

Reliable Facility Location Design Under Uncertain Correlated Disruptions

Mengshi Lu
Mengshi Lu
[email protected]
Krannert School of Management, Purdue University, West Lafayette, Indiana 47907
Search for more papers by this author
,
Lun Ran
Lun Ran
[email protected]
School of Management and Economics, Beijing Institute of Technology, Beijing 100081, China
Search for more papers by this author
,
Zuo-Jun Max Shen
Zuo-Jun Max Shen
[email protected]
Department of Industrial Engineering and Operations Research, and Department of Civil and Environmental Engineering, University of California, Berkeley, Berkeley, California 94720
Search for more papers by this author

Mengshi Lu

[email protected]

Krannert School of Management, Purdue University, West Lafayette, Indiana 47907

Search for more papers by this author

Lun Ran

[email protected]

School of Management and Economics, Beijing Institute of Technology, Beijing 100081, China

Search for more papers by this author

Zuo-Jun Max Shen

[email protected]

Department of Industrial Engineering and Operations Research, and Department of Civil and Environmental Engineering, University of California, Berkeley, Berkeley, California 94720

Search for more papers by this author

Published Online:19 May 2015https://doi.org/10.1287/msom.2015.0541

Supplemental Material

msom.2015.0541-sm-online_appendix.pdf (268 KB)

Cited by
- Resilient batch capture and storage siting for carbon networks under supply uncertainty
  Computers & Chemical Engineering, Vol. 211
- Stochastic optimization of supply chain resilience under ripple effects: The case of a Chinese high-tech company
  Computers & Industrial Engineering, Vol. 217
- Upfront Commitment in Online Resource Allocation with Patient Customers
  Negin Golrezaei,
  Evan Yao
  4 September 2025 | Management Science, Vol. 72, No. 5
- A novel predict-then-optimize method for sustainable bike-sharing management: a data-driven study in China
  20 September 2022 | Annals of Operations Research, Vol. 359, No. 1
- Spatial-Data-Driven Facility Location Planning
  15 September 2025 | Production and Operations Management, Vol. 35, No. 4
- Data-driven reliable shelter location during hurricane evacuation
  9 June 2025 | IISE Transactions, Vol. 58, No. 3
- The stochastic maximum diversity problem
  2 March 2026 | Journal of the Operational Research Society
- Mathematical formulations and a Relax-and-Fix heuristic algorithm for capacitated reliable fixed-charge facility location problems
  29 December 2025 | Journal of Heuristics, Vol. 32, No. 1
- Diversification or pooling? Distributionally robust optimization approach for closed-loop supply chain network design
  European Journal of Operational Research, Vol. 329, No. 2
- Robust emergency relief supply allocation with supplier selection and inventory pre-positioning
  18 January 2026 | International Journal of Production Research, Vol. 30
- Reliable design of humanitarian supply chain under correlated disruptions: a two-stage distributionally robust approach
  28 March 2024 | Annals of Operations Research, Vol. 355, No. 3
- Robust Capacity Planning with General Upgrading
  Zhaowei Hao,
  Long He,
  Zhenyu Hu,
  Jun Jiang
  24 September 2025 | Manufacturing & Service Operations Management, Vol. 27, No. 6
- Reliable logistics network design joint optimization problem applying demand sensitivity to correlated disruptions
  Computers & Industrial Engineering, Vol. 209
- Robust planning for electric vehicle charging stations under congestion
  Transportation Research Part B: Methodological, Vol. 200
- Intelligent Early Warning System for Supplier Delays Using Dynamic IoT-Calibrated Probabilistic Modeling in Smart Engineer-to-Order Supply Chains
  27 August 2025 | Applied System Innovation, Vol. 8, No. 5
- Adjusted distributionally robust bounds on expected loss functions
  Computers & Operations Research, Vol. 181
- Robust facility location considering protection and backup under facility disruptions with decision-dependent uncertainty
  European Journal of Operational Research, Vol. 325, No. 3
- Data-Driven Reliable Facility Location Design
  Hao Shen,
  Mengying Xue,
  Zuo-Jun Max Shen
  4 December 2024 | Management Science, Vol. 71, No. 8
- Risk propagation evaluation of logistics network based on online freight information: taking the Yumman platform as an example
  23 July 2025 | RAIRO - Operations Research, Vol. 59, No. 4
- Ship coping strategies for hurricane-induced port disruptions
  27 March 2024 | Kybernetes, Vol. 54, No. 8
- Greedy randomized adaptive search procedure for supply chain network resilience optimization considering risk diffusion
  20 September 2024 | Journal of the Operational Research Society, Vol. 76, No. 5
- Pricing and Procurement Strategies for Substitute Products in Extreme Weather
  15 January 2025 | Managerial and Decision Economics, Vol. 46, No. 3
- Equity-driven facility location: A two-stage robust optimization approach
  Computers & Operations Research, Vol. 176
- A two-stage stochastic-robust model for supply chain network design problem under disruptions and endogenous demand uncertainty
  Transportation Research Part E: Logistics and Transportation Review, Vol. 196
- Supply chain resilience: A review from the inventory management perspective
  Fundamental Research, Vol. 5, No. 2
- Research on location-inventory-routing optimization of emergency logistics based on multiple reliability under uncertainty
  Computers & Industrial Engineering, Vol. 200
- Distributionally robust hospital capacity expansion planning under stochastic and correlated patient demand
  Computers & Operations Research, Vol. 174
- The big data newsvendor problem under demand and yield uncertainties
  International Journal of Production Economics, Vol. 279
- Improved ADMM-based approach for optimizing intercity express transportation networks: A novel dual decomposition strategy with partial retention of coupling constraints
  Transportation Research Part E: Logistics and Transportation Review, Vol. 192
- Information Dependency in Mitigating Disruption Cascades
  Nitin Bakshi,
  Shyam Mohan
  13 September 2024 | Manufacturing & Service Operations Management, Vol. 26, No. 6
- Designing resilient supply chain networks: a systematic literature review of mitigation strategies
  18 September 2024 | Annals of Operations Research, Vol. 341, No. 2-3
- Facility Location Problem: Modeling Joint Disruptions Using Subordination
  Vishwakant Malladi,
  Kumar Muthuraman
  22 July 2024 | Transportation Science, Vol. 58, No. 5
- How to locate services optimizing redundancy: A comparative analysis of K -Covering Facility Location models
  Socio-Economic Planning Sciences, Vol. 94
- Two Stage Distributionally Robust Optimization for Post-Disaster Material Supply Network
- Robust sourcing contract design for the manufacturer under supply risk
  16 April 2024 | Annals of Operations Research, Vol. 25
- Enhanced capacitated facility location problem for mental accounting management using partial resource concentration
  8 September 2023 | Annals of Operations Research, Vol. 335, No. 1
- Supermodularity in Two-Stage Distributionally Robust Optimization
  Daniel Zhuoyu Long,
  Jin Qi,
  Aiqi Zhang
  3 April 2023 | Management Science, Vol. 70, No. 3
- A Forward–Backward Simheuristic for the Stochastic Capacitated Dispersion Problem
  20 March 2024 | Mathematics, Vol. 12, No. 6
- Optimizing vaccine distribution in developing countries under natural disaster risk
  17 August 2023 | Naval Research Logistics (NRL), Vol. 71, No. 1
- Robust actions for improving supply chain resilience and viability
  Omega, Vol. 123
- Reliable network design considering endogenous customers’ choices under probabilistic arc failures
  26 June 2023 | IISE Transactions, Vol. 56, No. 2
- Distributionally robust facility location with uncertain facility capacity and customer demand
  Omega, Vol. 122
- Multi-period stochastic programming for relief delivery considering evolving transportation network and temporary facility relocation/closure
  Transportation Research Part E: Logistics and Transportation Review, Vol. 180
- Robust maximum capture facility location under random utility maximization models
  European Journal of Operational Research, Vol. 310, No. 3
- Robust integrated planning for LEO satellite network design and service operations
  Operations Research Letters, Vol. 51, No. 6
- Humanitarian transportation network design via two-stage distributionally robust optimization
  Transportation Research Part B: Methodological, Vol. 176
- Improving relief operations via optimizing shelter location with uncertain covariates
  Transportation Research Part E: Logistics and Transportation Review, Vol. 176
- Efficient resilience portfolio design in the supply chain with consideration of preparedness and recovery investments
  Omega, Vol. 117
- Supply diversification under random yield: The impact of price postponement
  1 April 2023 | Production and Operations Management, Vol. 32, No. 4
- A reliable location design of unmanned vending machines based on customer satisfaction
  7 April 2021 | Electronic Commerce Research, Vol. 23, No. 1
- The efficient and stable planning for interrupted supply chain with dual‐sourcing strategy: a robust optimization approach considering decision maker's risk attitude
  Omega, Vol. 115
- Robust Sourcing Under Multilevel Supply Risks: Analysis of Random Yield and Capacity
  Ming Zhao,
  Nickolas Freeman,
  Kai Pan
  18 November 2022 | INFORMS Journal on Computing, Vol. 35, No. 1
- Distributionally Robust Optimization in Facility Location Problems
  21 September 2022
- Facility Location Problems with Multiple Objectives and Decision Criteria: A Review of Current Trends in Research
  27 July 2023
- Supply Chain Resilience: A Review from the Inventory Management Perspective
  1 January 2023 | SSRN Electronic Journal, Vol. 56
- Data-Driven Reliable Facility Location Design
  1 January 2023 | SSRN Electronic Journal, Vol. 25
- Resource distribution under spatiotemporal uncertainty of disease spread: Stochastic versus robust approaches
  Computers & Operations Research, Vol. 149
- A Lagrangian dual method for two-stage robust optimization with binary uncertainties
  29 March 2022 | Optimization and Engineering, Vol. 23, No. 4
- Nursing rescheduling problem with multiple rescheduling methods under uncertainty
  22 October 2021 | Complex & Intelligent Systems, Vol. 8, No. 6
- Emergency relief network design under ambiguous demands: A distributionally robust optimization approach
  Expert Systems with Applications, Vol. 208
- Planning reliable service facility location against disruption risks and last-mile congestion in a continuous space
  Transportation Research Part B: Methodological, Vol. 165
- Robust Stochastic Facility Location: Sensitivity Analysis and Exact Solution
  Tianqi Liu,
  Francisco Saldanha-da-Gama,
  Shuming Wang,
  Yuchen Mao
  16 June 2022 | INFORMS Journal on Computing, Vol. 34, No. 5
- Stratified delivery aid plans for humanitarian aid distribution centre selection
  Computers & Industrial Engineering, Vol. 171
- A meta heuristic approach for reliable capacitated facility joint inventory-location problem with round-trip transportation under imperfect information of disruption in a Fuzzy environment
  14 September 2022 | RAIRO - Operations Research, Vol. 56, No. 5
- Service interruption and customer withdrawal in the congested facility location problem
  Transportation Research Part E: Logistics and Transportation Review, Vol. 165
- Supply chain resilience initiatives and strategies: A systematic review
  Computers & Industrial Engineering, Vol. 170
- A Dual-Population Based Evolutionary Algorithm for Multi-Objective Location Problem Under Uncertainty of Facilities
  IEEE Transactions on Intelligent Transportation Systems, Vol. 23, No. 7
- Data-driven Wasserstein distributionally robust mitigation and recovery against random supply chain disruption
  Transportation Research Part E: Logistics and Transportation Review, Vol. 163
- Managing supply chain disruption threat via a strategy combining pricing and self-protection
  International Journal of Production Economics, Vol. 247
- The resilience of logistics network against node failures
  International Journal of Production Economics, Vol. 244
- Data‐Driven Rolling Horizon Approach for Dynamic Design of Supply Chain Distribution Networks under Disruption and Demand Uncertainty
  7 August 2020 | Decision Sciences, Vol. 53, No. 1
- A General Model and Efficient Algorithms for Reliable Facility Location Problem Under Uncertain Disruptions
  Yongzhen Li,
  Xueping Li,
  Jia Shu,
  Miao Song,
  Kaike Zhang
  26 August 2021 | INFORMS Journal on Computing, Vol. 34, No. 1
- Procurement Strategies with Unreliable Suppliers Under Correlated Random Yields
  Lingxiu Dong,
  Xin Geng,
  Guang Xiao,
  Nan Yang
  5 February 2021 | Manufacturing & Service Operations Management, Vol. 24, No. 1
- Robust Facility Location Selection Under Facility Failure in Close-Loop Supply Chain
  11 December 2022
- Tabu search with simulated annealing for solving a location–protection–disruption in hub network
  Applied Soft Computing, Vol. 114
- Robust Capacity Planning with General Upgrading
  SSRN Electronic Journal, Vol. 229
- The efficiency, equity and effectiveness of location strategies in humanitarian logistics: A robust chance-constrained approach
  Transportation Research Part E: Logistics and Transportation Review, Vol. 156
- Robust facility location under demand uncertainty and facility disruptions
  Omega, Vol. 103
- Locating facilities with resiliency to capacity failures and correlated demand uncertainty
  Transportation Research Part E: Logistics and Transportation Review, Vol. 153
- Robust Facility Location Under Disruptions
  Chun Cheng,
  Yossiri Adulyasak,
  Louis-Martin Rousseau
  15 July 2021 | INFORMS Journal on Optimization, Vol. 3, No. 3
- Two-echelon supply chain network design with trade credit
  Computers & Operations Research, Vol. 131
- Distributionally robust facility location problem under decision-dependent stochastic demand
  European Journal of Operational Research, Vol. 292, No. 2
- Managing supply risk: Robust procurement strategy for capacity improvement
  Omega, Vol. 102
- Humanitarian facility location under uncertainty: Critical review and future prospects
  Omega, Vol. 102
- Locations of congested facilities with interruptible immobile servers
  Computers & Industrial Engineering, Vol. 156
- A Review of Robust Operations Management under Model Uncertainty
  1 June 2021 | Production and Operations Management, Vol. 30, No. 6
- Costs of resilience and disruptions in supply chain network design models: A review and future research directions
  International Journal of Production Economics, Vol. 235
- A robust bank asset allocation model integrating credit-rating migration risk and capital adequacy ratio regulations
  13 March 2020 | Annals of Operations Research, Vol. 299, No. 1-2
- Reliable closed-loop supply chain design problem under facility-type-dependent probabilistic disruptions
  Transportation Research Part B: Methodological, Vol. 146
- Reliable Hub Location Model for Air Transportation Networks Under Random Disruptions
  Hao Shen,
  Yong Liang,
  Zuo-Jun Max Shen
  1 April 2020 | Manufacturing & Service Operations Management, Vol. 23, No. 2
- OR-methods for coping with the ripple effect in supply chains during COVID-19 pandemic: Managerial insights and research implications
  International Journal of Production Economics, Vol. 232
- Decision Assessment Algorithms for Location and Capacity Optimization under Resource Shortages
  1 December 2019 | Decision Sciences, Vol. 52, No. 1
- A ripple effect in prehospital stroke patient care
  13 October 2020 | International Journal of Production Research, Vol. 59, No. 1
- Resource Distribution Under Spatiotemporal Uncertainty of Disease Spread: Stochastic versus Robust Approaches
  SSRN Electronic Journal, Vol. 292
- Improving Humanitarian Relief via Optimizing Shelter Location With Uncertain Covariates
  SSRN Electronic Journal, Vol. 136
- Stochastic optimization of disruption-driven supply chain network design with a new resilience metric
  International Journal of Production Economics, Vol. 230
- Ripple effect quantification by supplier risk exposure assessment
  11 October 2019 | International Journal of Production Research, Vol. 58, No. 18
- Robust approach for air cargo freight forwarder selection under disruption
  26 August 2019 | Annals of Operations Research, Vol. 291, No. 1-2
- Tractable reformulations of two-stage distributionally robust linear programs over the type- ∞ Wasserstein ball
  Operations Research Letters, Vol. 48, No. 4
- ‘A blessing in disguise’ or ‘as if it wasn’t hard enough already’: reciprocal and aggravate vulnerabilities in the supply chain
  27 June 2019 | International Journal of Production Research, Vol. 58, No. 11
- A distributionally robust optimization approach for two-stage facility location problems
  EURO Journal on Computational Optimization, Vol. 8, No. 2
- Critical infrastructure location under supporting station dependencies considerations
  Socio-Economic Planning Sciences, Vol. 70
- Does the ripple effect influence the bullwhip effect? An integrated analysis of structural and operational dynamics in the supply chain
  17 June 2019 | International Journal of Production Research, Vol. 58, No. 5
- Reliable facility location design with round-trip transportation under imperfect information Part I: A discrete model
  Transportation Research Part E: Logistics and Transportation Review, Vol. 133
- Facility Location with Joint Disruptions
  SSRN Electronic Journal, Vol. 79
- Understanding risk management for intentional supply chain disruptions: risk detection, risk mitigation, and risk recovery
  2 March 2017 | Annals of Operations Research, Vol. 283, No. 1-2
- Joint optimization of supplier selection and facility location for 2022 Winter Olympics in the presence of supply risk
- A Benders Decomposition Method for Designing Reliable Supply Chain Networks Accounting for Multimitigation Strategies and Demand Losses
  Nader Azad,
  Elkafi Hassini
  28 August 2019 | Transportation Science, Vol. 53, No. 5
- A Responsive Pricing Grid Operator Sourcing from Competing Generators under Uncertain Supply and Demand
  27 July 2019 | Sustainability, Vol. 11, No. 15
- Almost Robust Discrete Optimization
  European Journal of Operational Research, Vol. 276, No. 2
- Recovery strategies from major supply disruptions in single and multiple sourcing networks
  European Journal of Operational Research, Vol. 275, No. 2
- An effective heuristic for large-scale fault-tolerant k-median problem
  5 October 2018 | Soft Computing, Vol. 23, No. 9
- Planning facility location under generally correlated facility disruptions: Use of supporting stations and quasi-probabilities
  Transportation Research Part B: Methodological, Vol. 122
- A comparative study on fuzzy programming approaches to design a sustainable supply chain under uncertainty
  Journal of Intelligent & Fuzzy Systems, Vol. 36, No. 3
- Resilient supply chain design and operations with decision‐dependent uncertainty using a data‐driven robust optimization approach
  2 January 2019 | AIChE Journal, Vol. 65, No. 3
- Reliable Flexibility Design of Supply Chains Via Extended Probabilistic Expanders
  1 March 2019 | Production and Operations Management, Vol. 28, No. 3
- Reliable service systems design under the risk of network access failures
  Transportation Research Part E: Logistics and Transportation Review, Vol. 122
- Robust Sourcing from Suppliers under Ambiguously Correlated Major Disruption Risks
  1 February 2019 | Production and Operations Management, Vol. 28, No. 2
- A Capacitated Location-Inventory Model with Demand Selection
  Journal of Advanced Transportation, Vol. 2019
- Location Problems Under Disaster Events
  17 March 2020
- A Continuous Approximation Approach Based on Regular Hexagon Partition for the Facility Location Problem under Disruptions Risk
  12 February 2019 | Complexity, Vol. 2019, No. 1
- Reliable capacitated facility location problem with service levels
  EURO Journal on Transportation and Logistics, Vol. 7, No. 4
- A sample average approximation approach for supply chain network design with facility disruptions
  Computers & Industrial Engineering, Vol. 126
- A reliable location model for heterogeneous systems under partial capacity losses
  Transportation Research Part C: Emerging Technologies, Vol. 97
- Optimization under supplier portfolio risk considering breach of contract and market risks
  Risk and Decision Analysis, Vol. 7, No. 3-4
- Risk-Averse Facility Location for Green Closed-Loop Supply Chain Networks Design under Uncertainty
  6 November 2018 | Sustainability, Vol. 10, No. 11
- A Robust Optimization Approach to the Multiple Allocation p-Center Facility Location Problem
  2 November 2018 | Symmetry, Vol. 10, No. 11
- Multi-dual decomposition solution for risk-averse facility location problem
  Transportation Research Part E: Logistics and Transportation Review, Vol. 116
- Data-driven approaches to integrated closed-loop sustainable supply chain design under multi-uncertainties
  Journal of Cleaner Production, Vol. 185
- Risk-averse capacity planning for renewable energy production
  26 June 2017 | Energy Systems, Vol. 9, No. 2
- Resilient facility location against the risk of disruptions
  Transportation Research Part B: Methodological, Vol. 104
- Solving the deterministic and stochastic uncapacitated facility location problem: from a heuristic to a simheuristic
  21 December 2017 | Journal of the Operational Research Society, Vol. 68, No. 10
- Fleet management for Electric Vehicles sharing system under uncertain demand
- A robust possibilistic programming model for a responsive closed loop supply chain network design
  29 May 2017 | Cogent Mathematics, Vol. 4, No. 1
- Reliable design of an integrated supply chain with expedited shipments under disruption risks
  Transportation Research Part E: Logistics and Transportation Review, Vol. 95
- Optimal Sourcing with Ambiguously Correlated Suppliers
  SSRN Electronic Journal, Vol. 60
- Decomposition of general facility disruption correlations via augmentation of virtual supporting stations
  Transportation Research Part B: Methodological, Vol. 80
- Supply Diversification Under Price Dependent Demand and Random Yield
  SSRN Electronic Journal, Vol. 66

cover image Manufacturing & Service Operations Management

Volume 17, Issue 4

Fall 2015

Pages 427-619

Article Information

Supplemental Material

Metrics

Information

Received:April 04, 2013
Accepted:March 13, 2015
Published Online:May 19, 2015

Cite as

Mengshi Lu, Lun Ran, Zuo-Jun Max Shen (2015) Reliable Facility Location Design Under Uncertain Correlated Disruptions. Manufacturing & Service Operations Management 17(4):445-455.

https://doi.org/10.1287/msom.2015.0541

Keywords

PDF download

Available Issues

Available Issues

Available Issues

Available Issues

Available Issues

Reliable Facility Location Design Under Uncertain Correlated Disruptions

Supplemental Material

Volume 17, Issue 4

Article Information

Supplemental Material

Metrics

Information

Cite as

Keywords

Sign Up for INFORMS Publications Updates and News