Reliable design of a forward/reverse logistics network under uncertainty: A robust-M/M/c queuing model

This paper presents a novel model for designing a reliable network of facilities in closed-loop supply chain under uncertainty. For this purpose, a bi-objective mathematical programming formulation is developed which minimizes the total costs and the expected transportation costs after failures of facilities of a logistics network. To solve the model, a new hybrid solution methodology is introduced by combining robust optimization approach, queuing theory and fuzzy multi-objective programming. Computational experiments are provided for a number of test problems using a realistic network instance.