Draw a network representation

Assignment Help Business Management

Reference no: EM1338868

Its a pretty straightforward case - not traps - which require not much more than the application of the formulae and some common sense for the interpretation of the results.

CASE: Some applications of the transportation and transshipment models have nothing to do with the transportation of goods. An interesting class of problem that can be solved by this method involves production and inventory scheduling. We will illustrate this type of application by considering the problem faced by Contois Carpets Inc.

When CC installs new carpeting, one of the services offered is free removal of the existing carpet. The Steve Contois, the owner has observed that much of the carpeting removed is in good shape; he feels that if the carpet were cleaned and sanitized, it could be resold. As a result, Contois has invested in equipment that can be used to clean and sanitize the carpet prior to reselling it.

Contois would now like to develop a production and inventory schedule for the cleaning and sanitizing operation that will minimize the total production and operation cost for the next four quarters. Production capacities will be 600, 300, 500 and 400 yards. Production cost will vary by quarter. They are expected to be 2, 5, 3, and 3 $/yard. Demand is foreseen as 400, 500, 400 and 400 yards. The cost to carry inventory from one quarter to the next is a constant $ 0.25/yard.

QUESTION 1: Draw a network representation of the Contois Carpet problem. Hint: use four nodes each for the production and the demand during the four quarters. Connect them with arcs representing the flow from sources to sinks. "Transportation" along those arcs involves the corresponding production and carrying costs.

QUESTION: Solve for the optimal solution using the transportation algorithm

Reference no: EM1338868

Questions Cloud

Explain establishing a human resource plan : Explain Establishing a Human Resource plan and Put yourself in the position of consultant to an owner of several small convenience stores

Define the significance of your results : create a specific experiment to measure the rate of cellular respiration in an organism of your choice

Checklist versus weighted factor method of selecting project : Discuss the pros and cons of the checklist versus the weighted factor method of selecting projects.

Description of famous neighborhoods : Advantages of living in Harlem in the 1920s. List and description of famous neighborhoods in Harlem during the 1920s.

Draw a network representation : Draw a network representation of the Contois Carpet problem

Ellucidate what rewards exist for a company to be first : Is innovation increasing or decreasing. Is the productivity of workers increasing or decreasing. Ellucidate what rewards exist for a company to be first with an innovation.

Explain establish a corporation : Explain Establish a Corporation and Complete the steps necessary to establish a corporation and Remember that a corporation does not exist until the corporation documents are both filed and accepted by its home state

Give oxaloacetate or malate stimulate oxygen consumption : Why is the amount of oxygen consumed so much greater than the amount require to oxidize the added oxaloacetate or malate completely.

Expected return of a portfolio : A diversification strategy to improve the EXPECTED RETURN of a portfolio.

User Account

All Pages