A strong formulation for Multiple Allocation Hub Location based on supermodular inequalities
Elena Fernández, Nicolás Zerega
TL;DR
This paper tackles the MA-HLP by introducing reinforced 2-index formulations based on supermodular inequalities. It develops FZ-P and FZ-S, showing that their linear programming bounds match the tightest 4-index path formulations (HLP_{MA}) while using far fewer variables, greatly improving scalability. The authors provide theoretical connections between the two 2-index formulations and demonstrate, through computational experiments on CAB and AP datasets, that FZ-S outperforms existing CF-S and CF-P variants and solves up to 200-node instances within two hours. The work offers a practical, scalable approach to MA-HLP with potential extensions to longer routing paths and non-complete backbones, enhancing both theory and applications in hub location design.
Abstract
We introduce a new formulation for the multiple allocation hub location problem that exploits supermodular properties and uses 1- and 2-index variables only. We show that the new formulation produces the same Linear Programming bound as the tightest existing formulations for the studied problem, which use 4-index variables, outperforming existing supermodular formulations adapted to the considered problem. Computational results are presented with instances of up to 200 nodes optimally solved within a time limit of two hours.
