Modified distribution methods, Operation Management

Assignment Help:

As mentioned previously the MODI method is an efficient method of testing the optimality of a transportation solution. It may be recalled that in the application of the stepping stone method each of the empty cells is evaluated for the opportunity cost by drawing a closed loop. In situation where a large number of sources and destination are involved this would be a very time consuming and intricate exercise. The MODI method avoids this kind of extensive scanning and reduces the number of steps required in the evaluation of the empty cells. This methods gives a straightforward computational scheme whereby we can determine the opportunity cost of each of the empty cells.

Step i) : Add to the transportation table a column on the EHS titled u and a row in the bottom of it labelled vj.


Related Discussions:- Modified distribution methods

Explain ethics addressed in the business world today, How are leadership tr...

How are leadership traits and ethics addressed in the business world today?

Explain what strategic objectives in traditional approach, Lincoln electric...

Lincoln electric is gradually moving toward using a more traditional approach to pay, putting less emphasis on earnings at risk. What strategic objectives would lead the company to

Operations and production management , OPERATIONS AND PRODUCTION MANAGEMENT...

OPERATIONS AND PRODUCTION MANAGEMENT   Production and operation management (POM) is defined as the design operation, and enhancement of the transformation process which converts

Explain characteristics of a definable sample group, Which of the following...

Which of the following requires the opinion of an expert to determine the location and characteristics of a definable sample group? Judgment sample Simple random sample S

Location, what are the globalization and geoghacical dispersion of operatio...

what are the globalization and geoghacical dispersion of operation

What are the relevant costs involved, Process Solutions provides a computer...

Process Solutions provides a computer-based document processing service. The accountant has produced the following analysis.   Standard Modifi

Explain ethics training back to the workplace be maximized, Define the term...

Define the term, transfer of learning. (2) A critical issue in training is the transfer of training, and ethics training is no exception. How could the transfer of ethics training

Explain formal communication chain effective, Most organizations possess so...

Most organizations possess some formal organizational chart showing the established lines of authority and the division of labour. Generally, formal processes of communication are

Explain what is the value of the game, Consider the following two-person ze...

Consider the following two-person zero-sum game. Assume the two players have the same two strategy options. The payoff table shows the gains for Player A.               Player B

Explain multifactor productivity, The following table shows data on the ave...

The following table shows data on the average number of customers processed by several bank service units each day. The hourly wage rate is $15, the overhead rate is 1.0 times labo

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd