Study On The Location Of Third Party Logistics Distribution Center Based On Bilevel Programming Model

With the increasing demand for consumer online shopping,China's logistics industry has been provided good opportunities for development,and the third party logistics industry has also been booming in recent years.The third party logistics plays a decisive role in the economic development.It effectively reduces the burden of the enterprises and provides low-cost and efficient distribution services for the enterprises.In the logistics system,the distribution center is the link between the demand point and the supply point,which draws closer to the distance between the enterprise and the customer.Therefore,how to select the location of the distribution center reasonably is of great practical significance.This paper thoroughly studies the background,purpose and significance of the location of the third party logistics distribution center,as well as the situation at home and abroad,discusses the influencing factors and principle of the distribution center location problem.Comparing the advantages and disadvantages of the commonly used model for site selection problem,we select the Bi-level programming model to construct the third-party logistics distribution center location model.The upper level of the model aims at minimizing the total cost of third-party logistics companies.Customers have multiple goals at the lower level and want lower costs and higher time-saving satisfaction.This model is solved by genetic algorithm and Matlab software.Finally,the location model is applied to analyze the case and get the location plan.