A Two-Stage Model with an Improved Clustering Algorithm for a Distribution Center Location Problem under Uncertainty

Distribution centers are quite important for logistics. In order to save costs, reduce energy consumption and deal with increasingly uncertain demand, it is necessary distribution select the location strategically. this paper, a two-stage model based on an improved clustering algorithm center-of-gravity method proposed multi-facility problem arising from real-world case. First, distance function used in redefined include both spatial indicator socio-economic indicator. Then, determine optimal number of needed coverage each center. Third, final Finally, compared traditional by testing data 12 cities Inner Mongolia Autonomous Region China. The comparison result proves method’s effectiveness.