A comparison of separation routines for Benders optimality cuts for two-level facility location problems

Abstract This paper studies two-level uncapacitated facility location problems, a class of discrete location problems that consider different hierarchies of facilities and their interactions. Benders reformulations for both single and multiple assignment variants and while several separation procedures for three classes of Benders cuts are presented: standard optimality cuts, lifted optimality cuts, and non-dominated optimality cuts. Extensive computational experiments are performed on difficult and large-scale benchmark instances to assess the performance of the considered separation routines.