Transportation method, Operation Management

Assignment Help:

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


Related Discussions:- Transportation method

Explain what are the upper and lower control chart limits, The defect rate ...

The defect rate for a product has historically been about 2.4%. What are the upper and lower control chart limits for a p-chart, if you wish to use a sample size of 100 and 3-sigma

Operations and supply chain management, Operations and Supply Chain Managem...

Operations and Supply Chain Management XYZ Inc distributes and sells tyres. While most of XYZ's sales come from earthmover and industrial tyres, they also stock and sell a ver

Compute the shape yield percentage, You punch multiple parts from a sheet o...

You punch multiple parts from a sheet of Aluminium. The sheet is a 1728 square-inches rectangle and you get 18 parts that are 70 square-inches each. The machine is old so you inclu

Explain supply chain management solution, Describe for Bill what a Supply C...

Describe for Bill what a Supply Chain Management (SCM) solution would look like for his UMUC Pizza business and how his business could benefit from implementing an SCM solution

Explain what appears to be the primary supply chain, What appears to be the...

What appears to be the primary "secret" of successful supply chain management?

What is cutting stock problem, Consider the cutting stock problem that aris...

Consider the cutting stock problem that arises when a company manufactures sheets of standard width 100 and has commitments to supply 40 sections of width 40, 60 sections of width

Define what are the steps and the benefits of a social audit, What are the ...

What are the steps and the benefits of a social audit?

Industrial production, Industrial Production The output of U.S. factori...

Industrial Production The output of U.S. factories is mines, and utilities. This output constitutes the production of things like the goods, portion of goods, and the services.

Explain what are the problems that walmart has faced, What are the problems...

What are the problems that Walmart has faced and what has the company done to address

Explain connect network segments that use cat5 utp, What kind of router cou...

What kind of router could connect network segments that use CAT5 UTP with other segments that use fibre optic cable? a. modular router b. translational router c. bridge ro

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