Transportation
Model
PRESENTED BY;
MUSKAN DIWAN
Content
 Meaning.
 Application.
 Types of Transportation problem.
 Methods of Transportation.
Meaning
 The transportation problem is a special type of linear programming
problem where the objective is to minimise the cost of distributing a
product from a number of sources or origins to a number of destinations.
Application of Transportation Model
• Minimize shipping costs
• Determine low cost location
• Find minimum cost production schedule
• Military distribution system
Two Types of Transportation Problem
• Balanced Transportation Problem where the total supply equals total
demand
• Unbalanced Transportation Problem where the total supply is not equal to
the total demand
Methods of Transportation Problem
 North West Corner Rule (NWCR):- The northwest-corner rule requires that
we start in the upper left-hand cell (or northwest corner) of the table and
allocate units to shipping routes.
Conti…
 Row Minima Method:- consists in allocation as much as possible in the lowest cost
cell of the first row so that either the capacity of the first plant is exhausted or the
requirement at distribution centre is satisfied or both.
Conti…
 Column Minima Method: This method consists of allocating as much as
possible lowest cost cell of the first column.
Conti…
 Least Cost Method: This method consists of allocating as much as
possible lowest cost cell of the table.
Thankyou

Transportation

  • 1.
  • 2.
    Content  Meaning.  Application. Types of Transportation problem.  Methods of Transportation.
  • 3.
    Meaning  The transportationproblem is a special type of linear programming problem where the objective is to minimise the cost of distributing a product from a number of sources or origins to a number of destinations.
  • 4.
    Application of TransportationModel • Minimize shipping costs • Determine low cost location • Find minimum cost production schedule • Military distribution system
  • 5.
    Two Types ofTransportation Problem • Balanced Transportation Problem where the total supply equals total demand • Unbalanced Transportation Problem where the total supply is not equal to the total demand
  • 6.
    Methods of TransportationProblem  North West Corner Rule (NWCR):- The northwest-corner rule requires that we start in the upper left-hand cell (or northwest corner) of the table and allocate units to shipping routes.
  • 7.
    Conti…  Row MinimaMethod:- consists in allocation as much as possible in the lowest cost cell of the first row so that either the capacity of the first plant is exhausted or the requirement at distribution centre is satisfied or both.
  • 8.
    Conti…  Column MinimaMethod: This method consists of allocating as much as possible lowest cost cell of the first column.
  • 9.
    Conti…  Least CostMethod: This method consists of allocating as much as possible lowest cost cell of the table.
  • 10.