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This method is more systematic and orderly than least cost method. Here penalties for each column and row of the transportation table are determined, and the row or column with largest penalty is chosen for allocation. Then the cell with lowest cost form the selected row column is allocated the maximum possible.
After this the row or column whose supply or demand is exhausted is exhausted is deleted and the penalties are again calculated for the shrunken table. The procedure continue still full demand supply is exhausted. Here penalty of each row column = ( second lowest - lowest costs of that row / column.
process of operation research
Problem: A policy maker is considering several policy options that lead to different utility levels of different individuals a) Which Policy is would be optimal according t
scope of operation research in management
DECILES The nine points on the scale of observations ( or values of the variable) which divide the total frequency into ten equal parts are called deciles for the data
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Graphs of Time Series A time series is a sequence of values corresponding to successive points of time. Time series are graphed with time on the x axis and the oth
Six Operators are to be assigned to five jobs with the cost of assignment in Rs. given in the matrix below. Determine the optimal assignment. Which operator will have no assignment
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Given an inventory system where Yearly demand = 120 units Ordering cost = Sh. 45 Price per unit = Sh. 200 Annual carrying cost = 24% of the unit cost Determine The economic or
What is meant by a mathematical model of a real situation? Discuss the importance of models in the solution of Operations research problems
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