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Problem 1. National oil company has three refineries and four depots. Transport
requirements are follows and find the IBFS by NWCM. 40
D1 D2 D3
5 7 13
R1
R2 8 6 14
12 10 9
R3
40
Demand 30 0 60 70
20
D2 D3 D4
R1 7 13 10
R2 6 14 13
R3
30 10 9 11
Demand 60 20 70 40
40
40 30 40 40
D2 D3 D4
R2 6 14 13
R3 10 9 11
30 40
20 0 2030 70 40
40 40
D3 D4
R2 14 13 30
R3 9 11 80
70 40
D3 D4
R3 9 11 80
30
40 40
50 D1 D2 D3
R1 5 7 13
R2 8 6 14
R3 12 10 9
30
Demand 30 60 70
Problem
10 2. Find the initial basic solution by least cost metho
M1 M2 M3
40 P1 6 4 9
60
40
60
P2 20 6 11
P3 7 1 0
7 1 12
P4
Demand 110 30 50 ,0
M1 M2 M4
P1 6 4 1
P2 20 6 3
P4 7 1 6
Demand 110 30 30, 0
M1 M2 Supply
P1 6 4 10
P2 20 6 40
P4 7 1 90, 60
Demand 110 30, 0
M1 Supply
P1 6 10, 0
P2 20 40
P4 7 60
Demand 110, 100
P2 20 40
P4 7 60, 0
Demand 100, 40
Problem 3. Determine the intial solution by least cost and NWCM
D1 D2
19 30
P1
P2 70 30
P3 40 10
Requirement 5 8
umber of occupied cells = m+n-1 (Row +Column - 1)
30 30
Supply
40 0
50
80
Supply
50
80
D4 Supply
10 70
13 50
11 80
40 200
200
1770
M4 Supply
1 40 10
3 40
14 50 0
90
6
60
30
220
1340
Supply
40, 10
40
90
1340
y least cost and NWCM method
Availabilit
D3 D4 y
7
50 12
40 60 10
60 20 8
7 5
s = m +n -1
n Cost=
Vogel's Approximation Method (VAM)
D1 D2 D3 D4
5 2
S1 19x 30x 50x 12x
7 2
S2 70x 30x 40 60
8 10
S3 40x 70x 20x
8x
Demand 5 0 8 7 14 4 2
P1 21 22 10 8
P2 21 X 10 8
P3 x x 10 8
Supply = Demand = 150
P1 P2 P3 Therefore the given TP is a balanced
1 1 1 5 =3+3-1
5=5
So we can say that the obtained sol is an IBFS.
Total TC = 7x40 +5x10 +4x40+8x50+9x10
Total TC= Rs. 980
Supply P1 P2 P3
2
7 2
7 7 38
2
9 2
10 20 20
10
18 10
12 20 50 6 = 3+4-1
34 6=6
d sol is an IBFS.
Unbalanced Transportation Problem
Unbalanced Transportation Problem
when supply is not equal to demand,it is called unbalanced TP and we will add a dum
Problem 1.
W1 W2 W3
∈
F1 42 48 38
80 10
F2 40 49 52
90 100
F3 39 38 40
Requirement 80 90 0 110
P1 1 10 2
P2 1 10 2
P3 1x 2
P3 x x 2
Supply ===> rows
Demand===> Columns
D1 D2 D3
25 2 ∈
O1
8 10 7
O2 40
12 9 4
O3 30
9 11 10
Demand
25 32 40
Penalty 1 1 3
Occupied Cells
8 10 7
* * 4
* 11 *
Vj v1 v2 v3
* * *
For Unoccupied
Cells 5 7 *
9 * 8
8 10 7
Step 4. Cosider all the unoccupied cells with its cost and we will calcula
* * *
7 2 *
0 * 2
Vj
Since all delta ij are positive and zero, no need to go for further steps an
the optimum solution and the optimum cost would be Rs. 848.
TP and we will add a dummy row/column with the required quantity and with zero cost.
W4 (Dummy) Capacity P1 P2 P3 P4
160
37 0 160 37 1 1 1
60
51 0 150 90 10 40 9 11 1
43 0 190 100 38 1 1 3
160 60 0 500
6
6x Condition of IBFS
6x 6 = 3+5-1= 7 (Which is not equal)
6x We have allocated a small quantity in next least cost cell to
remove ethe degeneracy
Again, we will check No of occupied cell = m+n-1
7 = 3+5-1 =7
Total TC = 17060
ery small quantity Epsilone(approx =0) to the next unoccupied least cost cell
oblem by VAM
7 40 3 Degeneracy occurs
8 30 1 To rempove it ,we will allocate epsilone to
Ui 848
6 u1 8 = u1+v1 Put u1 = 0
* u3 7 = u1+v3
v4 6 = u1+v4
4 = u2+v3 u2= -3
ow, j= column) 11 = u3+v2 u3 = 1
* 0
3 "-3
7 1
Ui
*
4
1
o go for further steps and we can consider the solution obtained by VAM is
uld be Rs. 848.
h zero cost.
∈
It is an unbalanced TP
5 3+4-1=6 ∈
ate epsilone to
Rs. 848
Closed Path Loop: Start from an unoccupied cell, take the turn from
1 Balance/unbalance
2 VAM
2 Degeneracy
3 Remove
4 Total TC
l, take the turn from occupied cell and come back to the starting point.
nce/unbalance
Problem 2. Test the optimality of following initial solution obtained by VAM
D1 D2 D3 D4 Supply
S1 19 5 30x 50 12 2 7
S2 70 7 2
30x 40 60 9
S3 40 8x 70 20 10 18
8
Deman5 8 7 14 34
D1 D2 D3 D4 Ui
S1
S2
S3
Vj
∆𝒊𝒋=𝑪𝒊𝒋−(𝑼𝒊+𝑽𝒋)
∆𝟏𝟐=
∆𝟏𝟑=
∆𝟐𝟏=
∆𝟐𝟐=
∆𝟑𝟏=
∆𝟑𝟑=
Now, we will select the smallest allocation between the negative corner of the loop (From solution obtai
Now Make a new table and keep all the values as it is (VAM table) except the corners of the loop
D1 D2 D3 D4
S1 19 5 30 50 12 2
S2 70 30 2 40 7 60
S3 6 12
40 8x 70 20
V1 V2 V3 V4
Smalllest allocation was 2 , between negative corners. Subtract this 2 at
negative corners and addd it to positive corners
D1 D2 D3 D4 Ui
S1
S2
S3
Vj
𝑪𝒊𝒋=(𝑼𝒊+𝑽𝒋)
𝑪
U2
12
U3
Subtract this 2 at
orners
Problem 2. Test the optimality using stepping stone method of the followi
D1 D2 D3 D4 Supply
S1 19 5 30 50 12 2 7
S2 7 7 2
70 30 40 60 9
S3 10
40 8 8 70 20 18
Deman5 8 7 14 34
19 30 50 12
7
70 30 40 60
40 8 70 20
the table obtained by VAM, and we will select the smallest allocat
it will be subtracted from negative corner allocation and added to
will remain same.
D1 D2 D3 D4
S1 19 5 30 50 12 2
S2 2 7
70 30 40 60
S3 6 12
40 8 70 20
Degeneracy
total Cost= 747
Again check the net change in the cost
Maximization Case in TP
Check the given TP is maximizing (e. g profit, revenue, production, sales etc)or mi
subtract all the values (except supply and demand ) with largest value in
−
changes in the cost
19 30 50 12 30
7
70 30 40 60 -60
40 8 70 20 20
-8
Net -18
smallest allocation between the negative corner of the loop (S2, D2)
n and added to the positive corner of the loop, rest of the allocation
19 5 30 50 12 2
70 30 2 40 7 60
6 12
40 8 70 20
n, sales etc)or minimizing type, if maximizing type, convert it into minimizing matrix
largest value in the whole table
Step4.
Cost
Cell change
(S1,D2) 30
(S1, D4) -12
(S3, D2) -8
(S3, D4) 20
Net cost change =+30
12
mizing matrix
Steps in Transportation Problem
F1 F2 F3 Ui
W1 8 50 7 5 50 U1=0
W2 6 100 4 50 8 U2= -2
W3 7 5 6 150 U3=1
V1= 8 V2= 6 V3 = 5
∆𝟏𝟐= 1
∆𝟐𝟑= 5,
∆𝟑𝟏= -2
∆𝟑𝟐= -2
ed as follows
F1 F2 F3
W1 − 7 −
W2 − − 8
W3 7 5 −
F1 F2 F3
W1 8 7 5 100 U1
W2 6 150 4 𝜖 8 U2
W3 7 5 50 6 100 U3
V1 V2 V3
No. of occupied cells 4
m+n-1 3+3-1 5
there is a degeneracy
To remove it, we will allocate epsilone to (W2, F2)
Total TC = Rs. 2250