Optimal placement of protective devices and switches in the distribution system improves the system reliability at the cost of increased investment. In this study, a new bi-directional analytical model has been developed to solve the problem of optimal placement of protective devices and switches in various zones of a distribution system with distributed generation (DG). The model determines the optimal number and locations of reclosers, switches, 'fuse-save fuses' and 'fuse-blow fuses' for increasing the system reliability while reducing the investment and outage costs, considering system data uncertainties. For considering uncertainties in load data, failure rates (temporary and permanent) and repair rates, the model utilises three-point estimate method. The formulated problem has been solved for 69-bus distribution system and radial distribution system connected to bus 4 of the reliability busbar test system, using genetic algorithm optimisation technique. After analysing the test results, it is concluded that considerable profit to the utility is achieved by optimal placement of protective devices and switches in various zones of the distribution system with DG units.