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TRANSPORTATION MODEL

PRESENTED BY,
MANEET KUMAR (31) MANI SHANKAR (32) MANINDER PAL SINGH (33) MANOJ KUMAR (34) MANISH KUMAR GARG (35) MADHU MAYA (I DON T KNOW)
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INTRODUCTION
Introduced by T.C.KOOPMANS in 1947, who presented a study called optimum utilization of Transportation System . The transportation model is a special class of LPPs that deals with transporting(shipping) a commodity from sources (e.g. factories) to destinations (e.g. warehouses). The objective is to determine the shipping schedule that minimizes the total shipping cost while satisfying supply and demand limits.
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ASSUMPTIONS
Total quantity of the item available at different sources is equal to the total requirement at different destinations. Items can be transported convientely from all sources to destination. The unit transportation cost of the item from all sources to destination is precisely known. The shipping cost is proportional to the number of units shipped on a given route.

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y We assume that there are m sources 1,2,

, m and n destinations 1, 2, , n. The cost of shipping one unit from Source i to Destination j is cij.

y We assume that

the availability at source i is ai (i=1, 2, , m) and the demand at the destination j is bj (j=1, 2, , n). Let xij be the amount of commodity to be shipped from the source i to the destination j. Thus the problem becomes the LPP
m n

Minimize z !
i !1

c
j !1

ij

xij
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We make an important assumption that the problem is a balanced one. That is, total availability equals total demand
m i i !1 n j j !1

a ! b

We can always meet this condition by introducing a dummy source (if the total demand is more than the total supply) or a dummy destination (if the total supply is more than the total demand)

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METHODS
y NWCM(North West Corner Method) y CM(Cost Minima) y RM(Row Minima) y LCM(Least Cost Method) y VAM(Vogel s Approximation Method

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PROBLEM
D1 S1 S2 S3 Demand 8 15 3 150 D2 5 10 9 80 D3 6 12 10 50 Supply 120 80 80 280

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Finding the basic feasible solution by VAM

D1 S1 S2 S3 Demand 8(70) 15 3(80) 150/70/0 [5] [7]

D2 5 10(80) 9 80/0 [4] [5] [5]

D3 6(50) 12 10 50/0 [4] [6] [6]

Supply 120/50/0 80/0 80/0 280 [1] [2] [6] [1] [2] [1] [2]

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ADVANTAGES
y

It reduce distribution and transportation cost. It improves competitiveness of products. It assist in locating ware-houses properly. It assist proper location of new factories or plants being planned. To close down ware-houses which are found costly and uneconomical
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ASSIGNMENT MODEL
y It studies the effect on objective function when each number of origins

is associated with each number of destination.


y Each facility is associated with one and only one job. y Resources and jobs are not divisible mutually.

Mathematically it is represented by :
n n

Minimize z !
i !1

c
j !1

ij

xij

xij =

0 or 1

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HUNGARIAN METHOD

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ASSIGNMENT VS TRANSPORTATION
ASSIGNMENT
n n

TRANSPORTATION
m n

Minimize z !
i !1

c
j !1

ij ij

Minimize z !
i !1

c
j !1

ij

xij

Number of jobs is equal to the number of facility.

It is not necessary that number of jobs is equal to the number of Facility. One demand centre may not be satisfied with one supply centre. Supply & demand is not unity i.e. ai 1, but both are equal. Number of unit allocated to a cell Can be more than zero.
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One job is assign to one respondent only. Supply & demand is unity i.e. ai = 1 Number of unit allocated to a cell Can be either one or zero.

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TRAVELLING SALESMAN
The goal of the Travelling Salesman Problem (TSP) is to find the cheapest tour of selected number of cities with the following restrictions: He must visit each city once and only once He must return to the original starting point after visiting all the location

B A

D
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TRANSPORTATION
TRANSPORTATION
TP has supply and demand constraints A TP is balanced when demand is equal to supply For transportation we use MODI method The optimal test for TP is when all cell evaluation are greater than or equal to zero

VS

T.S.
TSP

There is no such constraints.

A TSP is balanced when number of rows are equal to the number of columns For TS, We use Hungarian method In TS, assignment should be in such a Way, that it will make a complete circuit. (starting point = ending point)
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IMPORTANT TERMS
y Feasible solution -

A set of non-negative values xij i=1,2,3 m, j=1,2,3 n that satisfies the rim condition is called a feasible solution to the transportation problem.
y Basic Feasible solution

A feasible solution to a m x n transportation problem that contains no more than m + n 1 non-negative allocations is called a basic feasible solution to the transportation problem

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y Optimal solution A feasible solution (not necessarily the basic) that minimizes the transportation cost ot maximizes the profit is called an optimal solution y Non degeneracy If a basic feasible solution to a (m x n ) transportation problem has total number of non negative allocation equals to m+n-1, then this condition is called Non Degeneracy in transportation problem. y Degeneracy

If a basic feasible solution to a (m x n ) transportation problem has total number of non negative allocation is less then m+n1,then this condition is called Degeneracy in transportation problem

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OPTIMALITY
Optimality test is done to find out ,whether the obtained initial basic feasible solution is optimal or not. Optimality test is performed only on the feasible solution in which , (a) Number of allocation is m+n-1, where m = number of rows and n = number of columns If m+n-1 number of allocation, then we introduce a very small positive assignment of (q 0) to attain non degeneracy. (b) These allocation should be in independent position
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MODI METHOD
Use to check the optimality of the transportation solution. Major steps to follow:
y y y y y

Set up a cost matrix containing the unit costs associated with the cells for which allocations have been made. Introduce the dual variables (ui & vj ) corresponding to the supply and demand constraints. Fill the vacant cells with the sum of ui & vj . Get the cell evaluation matrix with Cij (ui + vj ). Sign of the values of cell evaluation matrix will decide the optimality.

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y If one or more values are negative then : y We set up a matrix with all the allocation of basic feasible solution . y Starting with the most negative valued cell of cell evaluation matrix, we

make a close loop with conditions that loop will turn only at filled cell.
y We assign + sign at starting point and

sign to the next turning point of the loop alternatively.

y We subtract the least allocation of negatively signed cell from all the -

signed cell and add to all + signed cell. Thus we get the second basic feasible solution and repeat the optimality test
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THANK YOU

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