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Locating repair shops in a stochastic environment J.C.W. van Ommeren

Summary: Locating repair shops in a stochastic environment
J.C.W. van Ommeren
, A.F. Bumb
Faculty of Electrical Engineering, Mathematics and Computer Science,
University of Twente, P.O. Box 217, 7500 AE Enschede, The Netherlands,
A.V. Sleptchenko
EURANDOM and Department of Technology and Management,
Eindhoven University of Technology, The Netherlands
December 15, 2004
In this paper we consider a repair shop location problem with uncertainties in demand.
New repair shops have to be opened at a number of locations. At these local repair
shops, customers arrive with broken, but repairable, items. Customers go to the
nearest open repair shop. Since they want to leave as soon as possible, an inventory
of working items is kept at the repair shops. A customer immediately receives a
working item from stock, provided that the stock is not empty. If a stockout occurs,
the customer has to wait for a working item. The broken items are repaired in the
shop and then put in stock. Sometimes, however, a broken item cannot be fixed at
the local repair shop, and it has to be sent to a central repair shop. At the central
repair shop the same policy with inventory and repair is used.


Source: Al Hanbali, Ahmad - Department of Applied Mathematics, Universiteit Twente


Collections: Engineering