Publication Detail
On the Appropriate Objective Function for Post-Disaster Humanitarian Logistics Models
    | UCD-ITS-RP-13-89 Journal Article Available online at: DOI: 10.1016/j.jom.2013.06.002 | 
Suggested Citation:
Holguín-Veras, José, Noel Pérez, Miguel Jaller, Luk Van Wassenhove, Felipe Aros-Vera  (2013) On the Appropriate Objective Function for Post-Disaster Humanitarian Logistics Models. Journal of Operations Management 31 (5), 262 - 280
The paper argues that welfare economic principles must be incorporated  in post-disaster humanitarian logistic models to ensure delivery  strategies that lead to the greatest good for the greatest number of  people. The paper's analyses suggest the use of social costs—the  summation of logistic and deprivation costs—as the preferred objective  function for post-disaster humanitarian logistic models. The paper  defines deprivation cost as the economic valuation of the human  suffering associated with a lack of access to a good or service. The  use of deprivation costs is evaluated with a review of the philosophy  and the economic literature to identify proper foundations for their  estimation; a comparison of different proxy approaches to consider human  suffering (e.g., minimization of penalties or weight factors, penalties  for late deliveries, equity constraints, unmet demands) and their  implications; and an analysis of the impacts of errors in estimation. In  its final sections, the paper conducts numerical experiments to  illustrate the comparative impacts of using the proxy approaches  suggested in the literature, and concludes with a discussion of key  findings.