Reliable Logistics Network Design Considering Network Damage

Many companies suffered a great loss because of the damage of their supply chain which is led by disasters. So it is strategic to study the reliability of a supply chain network. A reliable supply chain network is presented in this paper which can perform well under normal conditions and also perform with low cost when damages happen. A network design model is proposed based on the network presented. In the model, the risk of logistics networks was reduced by robust optimization and also the cost of the network under normal circumstances was minimized. At last, Lingo software is adopted to test the model to ensure its reliability.