When Is Heterogeneous Distance-Decay Facility Location Tractable? A Structural Classification, Exact Methods, and a Real-World Study
Authors: Zhou He, T. C. E. Cheng, Jichang Dong
Organizations: School of Economics and Management, University of Chinese Academy of Sciences, N606-3, #3 Zhongguancun Nanyitiao, Haidian District, Beijing 100190, China · Department of Logistics and Maritime Studies, The Hong Kong Polytechnic University, 11 Yuk Choi Rd, Hung Hom, Hong Kong, China
Abstract
We study continuous planar facility location in which a demand point's captured value decays with distance, with the per-point decay scale varying across points. This heterogeneity is ubiquitous yet underexploited, and one nearest-facility objective unifies decay, clustering, and median goals, containing k-means, the Weber/p-median problem, and maximum covering as special cases. We make four contributions. (i) A tractability classification: the discrete objective is always monotone submodular, so the (1-1/e) greedy guarantee holds regardless of decay shape or heterogeneity, and the continuous cooperative objective is concave if and only if the decay is concave in distance; the clip max(0,d) in common coverage specifications is what destroys concavity, and the classification is tight. (ii) An exact discrete method: the candidate-discretized maximum-cover MIP has an empirically tight LP relaxation (~0% gap) and is solved by branch-and-bound in seconds for n <= 500. (iii) A force-as-gradient / large-neighborhood-search heuristic, within 0.5% of the discrete optimum, that outperforms the (1-1/e) greedy, Cooper-style alternating location-allocation, particle swarm optimization, and weighted k-means (30/30 per-instance wins at K=30, p<10^-9) and is competitive with bespoke solvers on k-means, Weber/p-median, and shape-demand instances. (iv) A real-world study: on 592,667 urban-delivery orders, ignoring the calibrated decay variation loses up to 9.7% of captured demand and relocates facilities by up to 37% of the map; a retail dataset calibrates the decay as exponential with scale R ~ 1.4 km.
A new variant of the classic capacitated facility location problem, which considers incompatibilities between customers, has recently been introduced in the literature. This problem captures the situation where given pairs of customers cannot be served by the same facility. Such a feature is crucial for many practical cases of location problems, such as the presence of hazardous or polluting materials and contention between competing costumers. In this paper, we propose a Large Neighborhood Search (LNS) method to solve this problem. Within the framework of LNS, we introduce three different destroy operators, which are combined in a hybrid manner, and we use an exact solver in the repair phase. Different algorithmic components are investigated for the design of LNS. The experimental analysis shows that our new method outperforms existing state-of-the-art metaheuristics, providing new best solutions for all available benchmark instances.
We present an accelerated relax-and-round algorithm for concave coverage problems, which generalize the classic maximum coverage problem. Building on the relax-and-round framework of Barman et al. [STACS 2021], we propose two significant improvements. First, we replace the linear programming (LP) relaxation step with a projected accelerated gradient method applied to a smooth surrogate objective to achieve a O(mnε−1) running time. Second, we use a specialized rounding scheme for the hypersimplex that combines the Carathéodory decomposition algorithm in Karalias et al. [NeurIPS 2025] with randomized swap rounding of Chekuri et al. [FOCS 2010]. We prove tight approximation ratios for new reward functions, including a 0.827-approximation for the logarithmic reward φ(x)=log(1+x). Finally, we conduct maximum multi-coverage experiments on synthetic and real-world graphs, demonstrating that our algorithm outperforms approaches that use state-of-the-art LP solvers.
Matthew Fahrbach, Mehraneh Liaee, Morteza Zadimoghaddam
Large-scale routing often requires visiting clusters of nodes in a prescribed order, giving rise to the Ordered Clustered Traveling Salesman Problem (OCTSP). Optimizing each cluster independently seems natural, but misses non-local dependencies. We introduce the COMPASS algorithm for OCTSP, which combines search with learning-accelerated routing by orchestrating parallel sub-solvers. COMPASS has no quality ceiling and its solutions keep improving with compute. It exploits the clustered structure, and can reach exact solutions in time exponential in cluster size rather than instance size. Empirically, COMPASS consistently outperforms alternative methods. Unlike common large-scale routing solvers, COMPASS consumes general distance matrices and is not limited to coordinate inputs. We demonstrate scaling to 100K synthetic nodes and to 28.5K real e-commerce nodes. To our knowledge, the latter is the largest reported routing solution over asymmetric distances, 9x beyond established ATSP benchmarks.