A GRASP model in network design for two-stage supply chain

We consider a capacitated facility location problem (CFLP) which contains a production facility and distribution centers (DCs) supplying retailers' demand. The primary purpose is to locate distribution centres in the network and the objective is the minimization of the sum of fixed facility location, pipeline inventory, safety stock and lost sales. We use Greedy randomized adaptive search procedures (GRASP) to solve the model. The preliminary results indicate that the proposed method of this paper could provide competitive results in reasonable amount time.