Centroid – A Widely Misunderstood Concept In Facility Location Problems

Authors

  • William V Gehrlein University of Delaware
  • Mugdim Pasic University of Sarajevo

DOI:

https://doi.org/10.23055/ijietap.2009.16.2.257

Keywords:

Facility location, center of gravity, centroid, shipping cost, transportation

Abstract

The aim of this paper is to show, by use of a complete and exact mathematical model, that the centroid method is a widely misunderstood method in facility location problems and that it is, in fact, normally an inappropriate method to use for such problems. While numerous sources do describe the procedure as minimizing the total shipping cost when transportation costs are linearly proportional to the distances of travel, this study shows that these statements are not valid.  The misunderstanding regarding what the centroid method actually does results from an improper interpretation of the notion of the center of gravity.  In fact, the centroid method minimizes shipping costs only if transportation costs are proportional to the squares of distances traveled. 

 

Author Biographies

William V Gehrlein, University of Delaware

Mugdim Pasic, University of Sarajevo

Dr. Mugdim Pasic is Professor at the Industrial Engineering and Management Department of the Mechanical Engineering Faculty, University of Sarajevo, where he teaches graduate and undergraduate courses. He received M.Sc. degree at the University of California Los Angeles (UCLA), and Ph.D. degree at the University of Sarajevo. He is the author of numerous papers and several books in the area of Industrial Engineering and Management.

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Published

2022-03-14

How to Cite

Gehrlein, W. V., & Pasic, M. (2022). Centroid – A Widely Misunderstood Concept In Facility Location Problems. International Journal of Industrial Engineering: Theory, Applications and Practice, 16(2), 99–107. https://doi.org/10.23055/ijietap.2009.16.2.257

Issue

Vol. 16 No. 2 (2009)

Section

Logistics and Material Handling

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