Transportation method, Operation Management

Transportation  Method

We  solve the transportation  problem using the followings steps in order:

a. Structuring the problem  into the  transportation  framework.

b. Finding an initial solution.

c. Moving from the initial  solution  to th e optimal solution suing the transportation  algorithm of the transportation  method & if solution  is not optimal.

d. Revising the solution  until an  optimal  solution is obtained.

Step1 :L Structure  the problem into  transportation framework  as explained in the  followings.

First  of all the given  information  can be  put into  the transportation  framework  as under:

2317_Transportation  Method.png

The  above  solution indicate  that first  of  we have  transport 13 units  to warehouse A from factory X and Y this way the demand of warehouse A is met with. The remaining  2 units  at factory X are Sent to warehouse Y and this meet the demand of warehouse B only partially but the  supply  of factory X is exhausted. Then  we take the supply  available at factory Y and  from it transport 10 units  to warehouse  B thereby meeting it demand completely and the remaining 14 units are sent to warehouse  C. Then  we take the supply  at factory Z and  from it  we send 2 units  to warehouse C and the remaining 19  units to warehouse D. This way we meet the requirement of all warehouse from  the available supply  at various  factories without  considering the cost factor. The  initial solution has been shown the above  table. The relevant transportation cost of this initial solution will  be as under:

1765_Transportation  Method1.png

Cost of transportation 13 units  from X to A @ Rs. 3 per  units   =Rs. 39

Cost of transportation 2 units  from X to AB@ Rs. 2 per  units   =Rs. 40

Cost of transportation 10 units  from Y to B @ Rs. 1 per  units  = Rs. 10

Cost of transportation 14units  from Y to C @ Rs. 4 per  units   = Rs.56

Cost of transportation 2 units  from Z to C@ Rs. 4per  units     = Rs. 80

Cost of transportation 19 units  from Z to C@ Rs. 4per  units   =  Rs. 57

                                                                                     Rs. 174

Warehouse

1765_Transportation  Method1.png

Total transportation cost if  the initial  transportation  schedule is adopted = Rs. 174

Posted Date: 4/5/2013 1:47:17 AM | Location : United States







Related Discussions:- Transportation method, Assignment Help, Ask Question on Transportation method, Get Answer, Expert's Help, Transportation method Discussions

Write discussion on Transportation method
Your posts are moderated
Related Questions
What modification would you suggest in enhancing the existing logistics system

Stepping Stone Method: Continue the above example containing the initial basic feasible solution obtained by least cost rule. In this there six empty cell :91,1) )1

Discuss how the data resource management methods of today will need to evolve as more types of data emerge. Why the role of a data steward is considered innovative? Explain.

Explain how constraints in manufacturing are interrelated with a company's decisions regarding volume and variety

What are some of the positive and negative impacts of federally mandated socioeconomic programs, goals, and quotas within the federal government contracting process?

Productivity of the Organisation Productivity of the organisation is normally an operations problem - the operations function is usually the area of the company with the large

Legacy Systems and Improvements Please respond to the following: •From the e-Activity, discuss the challenges legacy systems pose for enterprise system integration. Provide specifi

A single machine work center has five jobs assigned to it. They are labeled, in the order of their arrival in the shop, as jobs A, B, C, D and E. The work center may work on only o

Scheduling techniques are designed to disaggregate the master production schedule into time-phased daily or hourly activities. A detailed production schedule must include when and

Assignment of Process layout of any company