Robust Hazmat Network Design Problems Considering Risk Uncertainty

Abstract

We study robust network design problems for hazardous materials transportation considering risk uncertainty. Risk uncertainty is considered in two ways: (1) uncertainty on each link for each shipment, and (2) uncertainty on each link across all shipments. We extend an existing heuristic framework to solve these two robust network design problems and propose a Lagrangian relaxation heuristic to solve subproblems within the framework. We present our computational experiences and illustrate general insights based on real networks.