Classifying US States for Facility Location Decisions Using Clustering Algorithm
Journal Title: International Research Journal of Applied and Basic Sciences - Year 2016, Vol 10, Issue 2
Abstract
The facility location selection is one of the most important decisions which can make an industry more successful in the future. The purpose of this study is to classify states of United State based on their similarity by defining some parameters that have influence on the facility location decisions. Real time data have been used in this study, therefore, these results can be used in real world problems. Facility location problems have been studied in the operation research areas due to their wide applications. This study is preparing a list of states to choose from, instead of resulting in one state for one specific facility location problem. The wide range of real problems can be covered by the final list. Jaccard Similarity Coefficient (JSC) and Average Linkage Clustering (ALC) methods are used to cluster US states which are similar in some parameters and let the decision makers choose between them according to their considered parameters. US states are clustered into six groups by applying 85 percent threshold value.
Authors and Affiliations
Mohammad Hasan Balali *| Industrial and Manufacturing Engineering Department, University of Wisconsin-Milwaukee, Milwaukee, WI, USA, email: mbalali@uwm.edu, Khosro Pichka| Sheldon B. Lubar School of Business, University of Wisconsin-Milwaukee, Milwaukee, WI, USA, Narjes Nouri| Industrial and Manufacturing Engineering Department, University of Wisconsin-Milwaukee, Milwaukee, WI, USA, Hamid Seifoddini| Industrial and Manufacturing Engineering Department, University of Wisconsin-Milwaukee, Milwaukee, WI, USA, Xiaohang Yue| Sheldon B. Lubar School of Business, University of Wisconsin-Milwaukee, Milwaukee, WI, USA
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