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This document discusses how to solve a maximization transportation problem by converting it into an equivalent minimization problem. It provides an example with three factories and four dealers, and shows how to find the basic feasible solution and optimal solution to maximize total return. Exercises with additional examples are also provided.

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Alona Precillas
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13 views8 pages

Publication

This document discusses how to solve a maximization transportation problem by converting it into an equivalent minimization problem. It provides an example with three factories and four dealers, and shows how to find the basic feasible solution and optimal solution to maximize total return. Exercises with additional examples are also provided.

Uploaded by

Alona Precillas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
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Maximization Transportation Problem

There are certain types of transportation problem where the objective


function is to be maximized instead of minimized. These kinds of problems
can be solved by converting the maximization problem into minimization
problem. The conversion of maximization into minimization is done by
subtracting the unit costs from the highest unit cost of the table.
The maximization of transportation problem is illustrated with the following
Example.
Example:
A company has three factories located in three cities viz. X, Y, Z. These
factories supplies consignments to four dealers viz. A, B, C and D. The
dealers are spread all over the country. The production capacity of these
factories is 310, 100 and 290 units per month respectively. The net return per
unit product is given in the following table:

Dealers A B C D Capacity

Factory
X 6 6 6 4 310
Y 4 2 4 5 100
Z 5 6 7 8 290
Requirement 150 130 120 300 700

Determine a suitable allocation to maximize the total return.


Solution:

1
This is a maximization problem. Hence first we have to convert this in to
minimization problem. The conversion of maximization into minimization is
done by subtracting the unit cost of the table from the highest unit cost. Look
the table, here 8 is the highest unit cost. So, subtract all the unit cost from the
8, and then we get the revised minimization transportation table, which is
given below.

Dealers A B C D Capacity

Factory
X 2 2 2 4 310 = a1
Y 4 6 4 3 100 = a2
Z 3 2 1 0 290 =a3
Requirement 150 =b1 130 =b2 120 =b3 300 =b4 700

Now we can solve the problem as a minimization problem.


First we have to find out the basic feasible solution, we will use the (LCM).

2 2 2 4 310
150 130 30 X
4 6 4 3 100
X X 90 10
3 2 1 0 290
X X X 290
150 130 120 300 700

2
The basic feasible solution by ( LCM ) is : x11=150, x12=130, x13=30, x23=90,
x24=10 and x34=290.
Once the basic feasible solution is found, next we have to determine the
optimum solution. Here we use MODI (Modified Distribution Method)
method. By using this method we obtain
u1+v1=2 , u1+v2=2 , u1+v3=2 , u2+v3=4 , u2+v4=3 , u3+v4=0.
Taking u1=0 arbitrarily we obtain
u1=0, v1=2, v2=2 and v3=2, u2=2, v4=1 , u3= - 1.
By verifying the condition of optimality, we get:
Cell (1,4) = 4 – 0 – 1 = 3
Cell (2,1) = 4 – 2 – 2 = 0
Cell (2,2) = 6 – 2 – 2 = 2
Cell (3,1) = 3 – (–1) – 2 = 2
Cell (3,2) = 2 – (–1) – 2 = 1
Cell (3,3) = 1 – (–1) – 2 = 0
So, the optimality condition is satisfied.
x11=150, x12=130, x13=30, x23=90, x24=10 and x34=290.Thus, the maximum
return is:
6*150 + 6*130 + 6*30 + 4*90 + 5*10 + 8*290 = 4590.

EXERCISES :
Q1. Four companies viz. W, X, Y and Z supply the requirements of three
warehouses viz. A, B and C respectively. The companies’ availability,
warehouses requirements and the unit cost of transportation are given in the
following table. Find an initial basic feasible solution using :

3
a. North West Corner Method
b. Least Cost Method
c. Vogel Approximation Method (VAM)

Q2. Find the optimum Solution of the following Problem using MODI method.

Q3. The ABT transport company ships truckloads of food grains from three
sources viz. X, Y, Z to four mills viz. A, B, C, D respectively. The supply
and the demand together with the unit transportation cost per truckload on
the different routes are described in the following transportation table.
Assume that the unit transportation costs are in hundreds of dollars.
Determine the optimum minimum shipment cost of transportation using
MODI method.

4
Q4. An organization has three plants at X, Y, Z which supply to warehouses
located at A, B, C, D, and E respectively. The capacity of the plants is 800,
500 and 900 per month and the requirement of the warehouses is 400, 400,
500, 400 and 800 units respectively. The following table shows the unit
transportation cost.

Determine an optimum distribution for the organization in order to minimize


the total cost of transportation.

Q5. Solve the following transshipment problem Consider a transportation


problem has two sources and three depots. The availability, requirements and
unit cost are as follows:

5
In addition to the above, suppose that the unit cost of transportation from
source to source and from depot to depot are as:
Source

Find out minimum transshipment cost of the problem and also compare this
cost with the corresponding minimum transportation cost.
Q6. According to the following type and quantities of dresses

6
Four different dress makers are submitted the tenders, who undertake to
supply not more than the quantities indicated below:

The store estimates that its profit per dress will vary according to the dress
maker as indicates in the following table:

Determine how should the orders to be places for the dresses so as to


maximize the profit.

7
Key Solutions :

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