Operations Research
Transportation Problem
1
Transportation Problem
Source Unit of Demand
Destination
Transportation
Unit of Supply
Demand 2
Supply
Transportation Problem
Identifying a basic feasible solution
North West corner rule
Minimum cost method or Least cost method
Penalty method (or) Vogel’s Approximation Method
Optimality solution
Stepping stone method
Modified distribution index (MODI)
3
Mathematical Form
The objective function
= ai , i = 1, 2 …. m
= bj , j = 1, 2 …. n
≠ 4
Transportation Problem
5
Transportation Problem
A company has four warehouse and six stores. The warehouse altogether have a
supply of 22 units of a given commodity, divided among them as follows;
Warehouses 1 2 3 4
Supply 5 6 2 9
The six stores altogether need 22 units of the commodity. Individual requirements
at stores 1, 2, 3, 4, 5 and 6 are 4, 4, 6, 2, 4 and 2 respectively.
Cost of shipping one unit of commodity from warehouse I to j in rupees is given in
the matrix below.
• Formulate the mathematical
model for the problem.
• How should the products be
shipped from the warehouses
to the stores so that the
transportation cost is
minimum? 6
Transportation Problem
Stores
1 2 3 4 5 6
1 9 12 9 6 9 10 5
Warehouse
2 7 3 7 7 5 5 6
3 6 5 9 11 3 11 2
6 8 11 2 2 10 9
4
9 12 9 6 9 10 5
4 4 6 2 4 2
7 3 7 7 5 5 6
6 5 9 11 3 11 2
6 8 11 2 2 10 9
4 4 6 2 4 2
7
Northwest corner method
9 12 9 6 9 10 5
4
7 3 7 7 5 5 6
6 5 9 11 3 11 2
6 8 11 2 2 10 9
4 4 6 2 4 2
12 9 6 9 10 1
1
3 7 7 5 5 6 3 7 7 5 5 6
3
5 9 11 3 11 2 5 9 11 3 11 2
8 11 2 2 10 9 8 11 2 2 10 9
4 6 2 4 2 3 6 2 4 2
8
Northwest corner method
7 7 5 5 3 9 11 3 11 2
3 2
9 11 3 11 2 11 2 2 10 9
11 2 2 10 9 3 2 4 2
6 2 4 2
2 2 10 8
11 2 2 10 9 2
1
2 4 2
1 2 4 2
2 10 6 10 2
4
4 2 2
9
Northwest corner method
9 12 9 6 9 10 5
4 1
7 3 7 7 5 5 6
3 3
6 5 9 11 3 11 2
2
6 8 11 2 2 10 9
1 2 4 2
4 4 6 2 4 2
Initial Basic feasible solution
Total Minimum cost = 9x4 + 12x1 + 3x3 + 7x3 + 9x2 + 11x1 + 2x2 + 2x4 + 10x2
Total Minimum cost = Rs.139
m+n-1=9=9 10
Least Cost method
9 12 9 6 9 10 5
7 3 7 7 5 5 6
6 5 9 11 3 11 2
6 8 11 2 2 10 9
2
4 4 6 2 4 2
9 12 9 9 10 5
7 3 7 5 5 6
6 5 9 3 11 2
6 8 11 2 10 7
4
4 4 6 4 2
11
Least Cost method
9 12 9 10 5 9 9 10 5
7 3 7 5 6 7 7 5 2
4 2
6 5 9 11 2 6 9 11 2
6 8 11 10 3 6 11 10 3
4 4 6 2 4 6 2
9 9 5
9 9 5 9 5
5
6 9 2
6 3 1
2 2 11 11 11 1
6 11 3 1
2 6 6 1
4 6
12
Least Cost method
9 12 9 6 9 10 5
5
7 3 7 7 5 5 6
4 2
6 5 9 11 3 11 2
2
6 8 11 2 2 10 9
2 1 2 4
4 4 6 2 4 2
Initial Basic feasible solution
Total Minimum cost = 9x5 + 3x4 + 5x2 + 6x2 + 6x2 + 11x1 + 2x2 + 2x4
Total Minimum cost = Rs.114
m+n-1=9≠8
13
Vogel’s Approximation Method
9 12 9 6 9 10 5
7 3 7 7 5 5 6
6 5 9 11 3 11 2
6 8 11 2 2 10 9
4 4 6 2 4 2
9 12 9 6 9 10 5 3
7 3 7 7 5 5 6 2
2
6 5 9 11 3 11 2 2
6 8 11 2 2 10 9 0
4 4 6 2 4 2
14
0 2 2 4 1 5
9 12 9 6 9 5 3
7 3 7 7 5 4 2
6 5 9 11 3 2 2
6 8 11 2 2 9 0
2
4 4 6 2 4 9 12 9 9 5 0
0 2 2 4 1 7 3 7 5 4 2
6 5 9 3 2 2
6 8 11 2 7 4
4
4 4 6 4
0 2 2 1
15
9 12 9 5 0 9 9 5 0
9 9 5 0
7 3 7 4 4 6 9 2 3
4 6 9 2 3
1
6 5 9 2 1 6 11 3 5
3 1 6
6 8 11 3 2 4 6 3 0
4 4 6 0 0
0 2 2
9 5 9 1
5 1
9 1 1
16
Vogel’s Approximation Method
9 12 9 6 9 10 5
5
7 3 7 7 5 5 6
4 2
6 5 9 11 3 11 2
1 1
6 8 11 2 2 10 9
3 2 4
4 4 6 2 4 2
Initial Basic feasible solution
Total Minimum cost = 9x5 + 3x4 + 5x2 + 6x1 + 9x1 +6x3 + 2x2 + 2x4
Total Minimum cost = Rs.112
m+n-1=9≠8
17
Transportation Problem
Find the initial basic feasible solution to the following transportation problem.
18
Northwest corner method
7 6 4 5 9
40 Performance Index (Solid Square) ri +
30 10
kj = Cij
8 5 6 7 8
20 30 r1 + k1 = C11; 0 + K1 r1 = 0
10
=7 r2 = -1
6 8 9 6 5 r1 + k2 = C12 r3 = 2
20 r2 + k2 = C22
5 15 r4 = 4
r2 + k3 = C23 k1 = 7
5 7 7 8 6
10 r3 + k3 = C33 k2 = 6
5 5 r3 + k4 = C34 k3 = 7
r4 + k4 = C44 k4 = 4
30 30 15 20 5
r4 + k5 = C45 k5 = 2
Basic feasible solution
Total Minimum cost = 7x30 + 6 x10 + 5x20 + 6x10 + 9x5 + 6 x 15+ 8x5+ 6x5
Total Minimum cost = Rs.635
19
Performance Index (Solid Square) ri + Net Cost Change (Water Square) Cij – (ri +
kj = Cij kj)
r1 + k1 = C11; 0 + K1 r1 = 0 C12 – (r1 + k2) = r1 = 0
=7 r2 = -1 C14 – (r1 + k4) = r2 =
r1 + k2 = C12 r3 = 2 C21 – (r2 + k1) = r3 =
r2 + k2 = C22 r4 = 4 C23 – (r2 + k3) = r4 =
r2 + k3 = C23 k1 = 7 C24 – (r2 + k4) = k1 =
r3 + k3 = C33 k2 = 6 C25 – (r2 + k5) = k2 =
r3 + k4 = C34 k3 = 7 C32 – (r3 + k2) = k3 =
r3 + k5 = C35 k4 = 4 C33 – (r3 + k3) = k4 =
r4 + k4 = C44 k5 = 2 C42 – (r4 + k2) = k5 =
r4 + k5 = C45 C43 – (r4 + k3) =
C44 – (r4 + k4) =
C45 – (r4 + k5) =
20
Net Cost Change (Water Square) Cij – (ri +
kj)
C13 – (r1 + k3) = 4 – (0+7) = -3 r1 = 0
C14 – (r1 + k4) = 1 r2 = -1
C15 – (r1 + k5) = 7 r3 = 2
C21 – (r2 + k1) = 2 r4 = 4
C24 – (r2 + k4) = 4 k1 = 7
C25 – (r2 + k5) = 7 k2 = 6
C31 – (r3 + k1) = -3 k3 = 7
C32 – (r3 + k2) = 0 k4 = 4
C35 – (r3 + k5) = 1 k5 = 2
C41 – (r4 + k1) = -6
C42 – (r4 + k2) = -3
C43 – (r4 + k3) = -4
21
Least Cost method
7 6 4 5 9
40
5 15 20
8 5 6 7 8
30 30
6 8 9 6 5
20
15 5
5 7 7 8 6
10
10
30 30 15 20 5
Basic feasible solution
Total Minimum cost = 7x5 + 4x15 + 5x20 + 5x30 + 6x15+ 5x5+ 5x10
Total Minimum cost = Rs.510
22
Vogel’s Approximation Method
7 6 4 5 9
40
5 15 20
8 5 6 7 8
30 30
6 8 9 6 5
20
15 5
5 7 7 8 6
10
10
30 30 15 20 5
Basic feasible solution
Total Minimum cost = 7x5 + 4x15 + 5x20 + 5x30 + 6x15+ 5x5+ 5x10
Total Minimum cost = Rs.510
23
24
1465
25
26
27
Assignment Model
• The objective is most often to minimize total costs or total time of performing the
tasks at hand.
• One important characteristic of assignment problems is that only one job or worker
is assigned to one machine or project.
Application
• Assigning machines to factory orders.
• Assigning sales/marketing people to sales territories.
• Assigning contracts to bidders by systematic bid evaluation.
• Assigning teachers to classes.
• Assigning accountants to accounts of the clients.
28
Assignment Model
29
Assignment Model
30
Hungarian Method
• Prepare square matrix
• Reduce the matrix
• Check whether an optimal assignment can be made in the reduced matrix or not.
• Mark the rows that do not have assignments.
• Mark the columns (not already marked) that have zeros in marked rows not
have assignments.
• Mark the rows (not already marked) that have assignment in marked
column.
• Repeat until no more rows or columns can be marked.
• Draw straight lines through all unmarked rows and marked columns. This gives the
minimum number of lines crossing all zeros. If this number is equal to the order of the
matrix then it is an optimal solution, otherwise go to next step.
• Iterate towards optimal solution.
31
A machine tool company decides to make four subassemblies through four
contractors. Each contract is to receive only one subassembly. The cost of
each subassembly is determined by the bids submitted by each contractor and
is shown in table in hundreds of rupees.
• Formulate the mathematical model for the problem.
• Show that the assignment model is a special case of the transportation
model.
• Assign the different subassemblies to contractors so as to minimize the total
cost.
32
Row minimum Column minimum
15 13 14 17
11 12 15 13 2 0 1 4 2 0 1 3
13 12 10 11 0 1 4 2 0 1 4 1
15 17 14 16 3 2 0 1 3 2 0 0
1 3 0 2 1 3 0 1
Assignment
2 (0) 1 3
(0) 1 4 1
3 2 0 (0)
1 3 (0) 1
Total Minimum cost = 13 + 11 + 11 + 14 = Rs. 4900
33
Four different jobs can be done on four different machines. The set-up and take-down
time costs are assumed to be prohibitively high for changeovers. The matrix below
gives the cost in rupees of producing job I on machine j.
• How should the jobs be assigned to the various machines so that the total cost
minimized?
5 7 11 6 0 2 2 1
8 5 9 6 3 0 0 1
4 7 10 7 0 3 2 3
10 4 8 3 7 1 1 0
.
0 2 6 1 (0) 2 2 1 .
3 0 4 1 3 (0) 0 1
0 3 6 3 0 3 2 3 .
7 1 5 0 7 1 1 (0)
34
. .
(0) 1 1 0 . (0) 0 0 0 (5) 7 11 6
4 (0) 0 1 5 (0) 0 2 8 (5) 9 6
0 2 1 2 . 0 1 (0) 2 4 7 (10) 7
8 1 1 (0) 8 0 0 (0) 10 4 8 (3)
Total Minimum cost = 5 + 5 + 10 +3 = Rs. 23 /-
35
A company has one surplus truck in each of the cities A, B, C, D and E and one deficit truck in each of the
cities 1, 2, 3, 4, 5 and 6. the distance between the cities in kilometers is shown in the matrix below. Find
the assignment of trucks from cities in surplus to cities in deficit so that the total distance covered by
vehicles is minimum.
12 10 15 22 18 8
10 18 25 15 16 12
11 10 3 8 5 9
6 14 10 13 13 12
8 12 11 7 13 10
0 0 0 0 0 0
4 2 7 14 10 0
0 8 15 5 6 2
8 7 0 5 2 6
0 8 4 7 7 6
1 5 4 0 6 3
36
0 0 0 0 0 0
Minimum Distance travelled = 10 + 12 + 3 + 6 + 7 = 38 km.
No truck is supplied to city 5.
. . .
4 2 7 14 10 (0) 6 2 7 14 10 (0)
(0) 8 15 5 6 2 . (0) 6 13 3 4 0
8 7 (0) 5 2 6 10 7 (0) 5 2 6
0 8 4 7 7 6 . 0 6 2 5 5 4 .
1 5 4 (0) 6 3 3 5 4 (0) 6 3
0 (0) 0 0 0 0 2 (0) 0 0 0 0
6 (0) 5 12 8 0 12 (10) 15 22 18 8
0 4 11 1 2 (0) 10 18 25 15 16 (12)
12 7 (0) 5 2 8 11 10 (3) 8 5 9
(0) 4 0 3 3 4 (6) 14 10 13 13 12
5 5 4 (0) 6 5 8 12 11 (7) 13 10
4 0 0 0 (0) 2 0 0 0 0 (0) 0 37
A company has a team of four salesmen and there are four districts where the company
wants to start its business. After taking into account the capabilities of salesmen and the
nature of districts, the company estimates that the profit per day in rupees for each
salesman in each district is as below.
Find the assignment of salesmen to various districts which will yield maximum profit.
16 10 14 11 0 6 2 5
14 11 15 15 2 5 1 1
15 15 13 12 1 1 3 4
13 12 14 15 3 4 2 1
(0) 6 2 5
(16) 10 14 11
1 4 (0) 0
14 11 (15) 15
0 (0) 2 3
15 (15) 13 12
maximum profit = 16 + 15 +15 +15 2 3 1 (0) 38
= 61 13 12 14 (15)
A salesman wants to visit cities 1, 2, 3 and 4. he does not want to visit any city twice
before the tour all the cities and wishes to return to his home city, the starting station.
Cost of going from one city to another in rupees is given in table. Find the least cost
route.
∞ 30 80 50 ∞ 0 50 20
40 ∞ 140 30 10 ∞ 110 0
40 50 ∞ 20 20 30 ∞ 0
70 80 130 ∞ 0 10 60 ∞
∞ (0) 0 20 ∞ (0) 0 30
10 ∞ 60 (0) 0 ∞ 50 0
∞ 0 (0) 40 20 30 ∞ 0 10 20 ∞ (0)
(0) ∞ 40 0 (0) 10 10 ∞ (0) 10 10 ∞
10 10 ∞ (0)
0 (0) 0 ∞
39
1 2 3 4
∞ 0 (0) 40
1 ∞ 30 (80) 50
(0) ∞ 40 0
2 (40) ∞ 140 30
10 10 ∞ (0)
3 40 50 ∞ (20)
0 (0) 0 ∞
4 70 (80) 130 ∞
Minimum cost = 80 + 40 +20 + 80
= 220
1 3 4 2 1
40