The document discusses a transportation model used in linear programming to minimize costs associated with transporting a homogeneous commodity from various sources to different destinations. It outlines three methods for finding an initial basic feasible solution: North-West Corner Rule, Least Cost Method, and Vogel’s Approximation Method. Additionally, it presents a practical problem faced by Abensala Company in optimizing their transportation logistics.
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TRANSPORTATION MODEL (1)
The document discusses a transportation model used in linear programming to minimize costs associated with transporting a homogeneous commodity from various sources to different destinations. It outlines three methods for finding an initial basic feasible solution: North-West Corner Rule, Least Cost Method, and Vogel’s Approximation Method. Additionally, it presents a practical problem faced by Abensala Company in optimizing their transportation logistics.
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Transportation
Model ACC 223 8589
Abadia, Marc Lawrence
Bentain, Carla Joyce Manansala, Micah Jelene Transportation Model Initial Basic Feasible Solution to deals with a special class of Transporation Problem - Methods: linear programming problem in which the objective is to transport a homogeneous North-West Corner Rule Method commodity from various sources (origins) to different starts with allocating units to the upper left-hand destinations of a total minimum corner of any transportation problem cost. Least Cost Method Business Use prioritizes allocating units to cells with the lowest This model is used for: transportation costs first Minimizing Transportation Costs Supply Chain Optimization Vogel’s Approximation Method Resource Allocation Inventory Management considers the penalty cost of not using the cheapest Production Planning available rate
Transportation Problem Formula
Balanced: Supply = Demand Unbalanced: Supply ≠ Demand ∑[(allocation × cost coefficient) Problem Solving Abensala Company is a manufacturing company that shifts their products from one warehouse to another. Using the three methods, find the feasible solution for the transportation problem faced by Abensala given below: