Method to solve

Transportation Problems
 Transportation Problems

and

Method to solve such problems

 Transportation Problem Cases
Destination (Warehouse)
1 2 . . n
∑ ai = ∑ bj
1 C11 C12 . . C1n a1 ∑ ai ≠ ∑ bj
Origin (Plant)

C21 C22 . . C2n

2 a2 Cij
. . . . .
. .
. . . . .
Pij
.
m Cm1 . . . Cmn am
b1 b2 . . bn ∑ ai
∑ bj
•Cij = Cost of shipping unit item from ith
Origin to jth Destination
Categories of Transportation Problems
A. Balanced Minimization → ∑ ai = ∑ bj with Cij

B. Unbalanced Minimization → ∑ ai ≠ ∑ bj with Cij

C. Balanced Maximization → ∑ ai = ∑ bj with Pij

D. Unbalanced Maximization → ∑ ai ≠ ∑ bj with Pij

 A. Balanced Minimization Problem
Destinations(Warehouses)
1 2 . . n
1 C11 C12 . . C1n a1
Origins(Plants )

2 C21 C22 . . C2n a2

. . . . .
. .
. . . . .
.
m
Cm1 . . . Cmn am
b1 b2 . . bn ∑ ai = ∑ bj
• Xij = No. of items shipped from ith Origin
to jth Destination
Formulation of Transportation Problem
as LPP
m n
Min Z = ∑ ∑ Cij. Xij
i =1 j =1
n
s/t ∑ Xij
j =1
= ai, for all i −( I )

∑ Xij
i =1
= bj for all j − ( II )

All Xij ≥ 0 for all i & j.

Methods to get IBFS :
1. NWCM: North West Corner Method

2. RMM: Row Minima Method

3. CMM: Column Minima Method

4. MMM: Matrix Minima Method

(Least Cost Entry Method)

5. VAM: Vogel’s Approximate Method

NWCM

1 2 3 4 5
1 3 4
2
2 3 2 6 5 2
5 4 5 2 1 13 11 5
2 2 6 5
6 5 4 7 10 7
3 2 12 10
3 4 6 7 10 30
2 2
Z = 148
Therefore NWCM solution is :
1 2 3 4 5
1 3 4
2
2 3 2 6 5
2 5 4 5 2 1 13
2 6 5
6 5 4 7 10 7
3 2 12
3 4 6 7 10 30

Z = 148
RMM
1 2 3 4 5
1 4 2 3 5 2 6 5
2 5 4 5 2 1 13 3 1
1 2 10
3 3 6 3 5
6 4 7 7
12 6 3
3 4 6 7 10 30
3 2
Z = 85
Therefore RMM solution is :
1 2 3 4 5
1 4 2 3 5 2 6 5
2 5 4 5 2 1 13
1 2 10
3 3 6
3
5
6 4 7 7
12
3 4 6 7 10 30

Z = 85
CMM
1 2 3 4 5
1 3 4
2 2 3 2 6 5 2
2 5 4 5 2 1 13 11 4
2 7 4
6 5 4 7 6 7
3 6 12 6
3 4 6 7 10 30
2 6
Z = 108
Therefore CMM solution is :
1 2 3 4 5
1 3 4
2 2 3 2 6 5
2 5 4 5 2 1 13
2 7 4
6 5 4 7 6 7
3 6 12
3 4 6 7 10 30

Z = 108
MMM
1 2 3 4 5
1 4 2 3 2 6 5
5
5 4 5 2 1
2 1 2 10 13 3 1
6 5 4 7 7
3 3 3 6 12 6 3
3 4 6 7 10 30
3 2
Z = 85
Therefore MMM solution is :
1 2 3 4 5
1 4 2 3 5 2 6 5
2 5 4 5 2 2 1 13
1 10

3 6 3 5 6 4 7 7
3 12
3 4 6 7 10 30
Z = 85
VAM Penalty
Number
1 2 3 4 5
1 4 2 3 2 6 5 0
2 5 4 5 2 10
1 13 3 1
6 5 4 7 7 1
3 12
3 4 6 7 10 30
Penalty
Number1 2 1 0 5
VAM Solution
Z = 89
Filled Cells = m+n-1 = 7 , Hence O.K.
ui
4 4 2 3 1 2 6 2
5 4 5 3 2 10 1
2
3 6
-2 5 6 4
3 7
7
vj -1 0 -3 0 7

-1under test
As (VCE)32 = -2, the solution
is not optimal.
VAM
1 2 3 4

1 4
4 2 3 2 5 1 0
2 5 4 5 2 3 2
6 5 4 7
3 12 1
3 4 6 7 20
1 2 1 0
 1 3 4
1 4 3 2 1 1
2 5 5 3 2 3 3
6 4 7 12 2
3
3 6 7 16
4
1 1 0
VAM

1 3 4
1 4 3 1 2 1 1
3 6 6 4 3 7 12 2
3
3 6 4 13
3
2 1 5
VAM solution is :
1 2 3 4 5
1 4 4 2 3 1 2 6 5
2 5 4 5 3 2 10
1 13
3 3 6 5
6 4
3 7 7
12
3 4 6 7 10 30

Z = 89
 Optimality Test on IBFS
Methods : 1. Stepping Stone Method
2. MODI Method
MODI Method Of Checking Optimality
Condition To Be Satisfied :
Filled Cells = m + n - 1
Where m = No. of Rows
n = No. of columns
 MODI Method for Optimality Test

Get all ui & vj starting with any ui or vj as zero,

such that ui + vj = cij in filled cells.

Get vacant cell Evaluation of all vacant cells.

(VCE)ij = cij – (ui + vj)

VAM Solution
Z = 89
ui
4 4 2 3 1 2 6 2
5 4 5 3 2 10 1
2
3 6
-2 5 6 4
3 7
7
vj -1 0 -3 0 7

-1under test
As (VCE)32 = -2, the solution
is not optimal.
 For modification of existing solution :
ui
4 4 2 3 1 2 6 2
5 4 5 3 2 10 1
2
3 6
-2 5 6 4
3
7
7
vj -1 0 -3 0 7
4 1 1 -1 4

3 3
Hence, improved solution will be :
2 2
1 4
2 1
3 10
3 6
3 5 6 4

Z = 89 – (2) (3)
Z = 83
This solution is to be checked by MODI Method
for optimality.
Improved solution : ui
4 1 2 3 4 2 6 -3
5 4 5 3 2
10 1 -3
3 6
3 5 6 4 7 7 0
vj 6 5 4 5 4

As all vacant cell evaluations are positive,

the solution, under test, is optimal, giving
Z = 83.
MMM Solution

Filled Cells = m+n-1 = 7 , Hence O.K.

ui
-1 4 -3 2 0 3 5 2 6 -1
05 1
4 5 2 2 10 -1
3 6 3 5 6 4 1 0
vj 6 5 4 3 7 2 7
Z = 85
 For modification of existing solution :
ui
4 2 3 2 6 -1
-1 -3 0 5
5 4 5 2 2 10 1
-1
0 1
3 6
3 5 6 4 7
0
vj 6 5 4 3 2 7
5 1 4

1 2 3
Hence, improved solution will be :
2 2
1 4
2 1
3 10
3 6
3 5 6 4

Z = 85 – 2
Z = 83
This solution is to be checked by MODI Method
for optimality.
Improved solution : ui
4 1 2 3 4 2 6 -3
5 4 5 3 2
10 1 -3
3 6
3 5 6 4 7 7 0
vj 6 5 4 5 4

As all vacant cell evaluations are positive,

this solution,under test, is optimal, giving
Z = 83.
 What to do when the
closed figure consists of
more than four lines ?
For cases when closed figure is not Equal or
Rectangle :

1 3 4
4
7 5
2

5 2 3
What to do when number of
filled cells
are
less than (m + n – 1) ?
Prob. A feasible solution of Minimization Transportation Problem is
given below.

(i) Is it Optimal Solution ? If not, get it.

( ii ) Is the Optimal Solution unique ? Justify.

D1 D2 D3

2 4 10
O1 7

O2 8 5 6 5 3
 D1 D2 D3

2 4 10
O1 7

O2 8 5 6 5 3

Z = 83. Here filled cells = 3 instead of 4 (m+n−1).

Hence,∈ is to be put up in one independent vacant cell

and consider it as filled cell.
 2 4 10
0
∈ 7

5 6 3
3
8 − 5
1
2 4 0
∈ 7 7

8 1 7

Hence, improved solution will be :

 2 4 10
7 −3
5 6 3
1 7 5 0

5 6 3

Z = 83 – (7) (1) = 76

Hence, this solution is Optimal.

 Typical
Questions
[ 1 ] Filled Cells = m+n-1 = 6 , Hence O.K.
28 12 20
120 -32 12
32 12 8
160 -20
16 32 4
30 25 135 0

16 32 4

Z = 7100
120 95 25

30 25 55

Hence, improved solution will be :

 28 12 20
95 25 12
32 12 8
160 -8 12
16 32 4
55 135 0

16 0 4

Z = 7100 – (32) (25) = 6300

95 25 120

95
160 65

55 135 150 40

Hence, improved solution will be :

 28 12 20
120 4
32 12 8
65 95 4
16 32 4
150 40 0

16 8 4
Z = 6300 – (8) (95) = 5540

Hence, this solution is Optimal.

MMM :

X Y Z

4 2 4 15 5
A 5 10

12 8 4 15 5
B 5 10

10 10 10

Z = 5*4 + 10*2 + 5*12 + 10*4 = 140

Optimality Test : Filled Cells = m+n-1 = 4 , Hence O.K.
X Y Z

4 2 4
A 5 10 0

12 8 4
B 5 −2 10 8

4 2 −4

5 10 10 5

5 5
Hence, improved solution will be

X Y Z

4 2 4
A 10 5 0

12 8 4
B 5 10 6

4 2 −2

Hence, this is Optimal Solution.

Z = 140 − 2*5 = 130

If C21 is changed to 10, then

X Y Z

4 2 4
A 10 5 0

10 8 4
B 0 5 10 6

4 2 −2

Hence, this will be one of the Multiple Optimal Solutions.

[ 3 ] Find IBFS of following “Minimization Transportation Problem” using
“Least Cost Entry Method” and apply “MODI Method” to check
optimality of this IBFS.

P Q R S T

A 73 40 09 79 20 8
62 93 96 08 13 7
B
96 65 80 50 65 10
C
57 58 29 12 87 3
D 56 23 87 18 12
E

5
 P Q R S T

73 40 09 79 20
A 8 8

62 93 96 08 13
B 2 5 7 2

C 96 65 80 50 65
3 7 10 3

D 57 58 29 12 87
1 2 3 1
E 56 23 87 18 12
1 4 5 1

6 8 10 5 4 33
5 7 2
3
 P Q R S T

09
A 8 37

62 08
B 2 5 −7 62

C 96 65
3 7 −44 96

D 57 29
1 2 57
E 23 12
1 4 +54

0 –31 –28 –54 –42

The solution under the test is not Optimal, as (VCE)BT = −7.

[4] What is [ Cij − (ui + vj) ] in a vacant cell ?
Ans. : Vacant Cell Evaluation for ij vacant cell.

[ 5 ] What are the methods to convert “Profit Matrix” into

“Relative Cost Matrix” ?
Ans. : (1) (Pij) (-1) = RCij
(2) 1/Pij = RCij
(3) (Pij)max - Pij = RCij
[6] State methods of getting IBFS of a Transportation Problem.
Ans. : (1) NWCM: North West Corner Method
(2) RMM: Row Minima Method
(3) CMM: Column Minima Method
(4) MMM: Matrix Minima Method
(Least Cost Entry Method)
(5) VAM: Vogel’s Approximate Method
[7] What is indicated by “Penalty Number” in VAM ?
Ans. : Penalty for not selecting the proper cell for allocation.

[ 8 ] Name IBFS of Transportation Problem when number of

filled cells is more than (m+n−1).

Ans. : Redundant Solution.

[9] Give full form of following abbreviations :

NWCM, VCE, IBFS, MODI

Ans. : NWCM – North West Corner Method

VCE – Vacant Cell Evaluation

IBFS – Initial Basic Feasible Solution

MODI – Modified Distribution

Home Assignments :
[ 1 ] For following transportation (minimization) problem,
present total cost of transportation is Rs. 3100. Is it possible
to reduce this by proper scheduling ? What can be the saving
?

Centres
A B C Supply

Factories X 25 35 10 150

Y 20 5 80 100

Demand 50 50 150
[ 2 ] Solve the following minimization Transportation
problem.

D1 D2 D3 D4 Supply

O1 2 3 11 7 6

O2 1 1 6 1 1

O3 5 8 15 10 10

Demand 7 5 3 2
[ 3 ] Get optimal solution of following “Minimization
Transportation Problem”.

D1 D2 D3
O1 20 15 25 40
O2 15 10 20 55
30 25 50
[ 4 ] Find Optimal Solution of following Minimization
Transportation Problem, Is it unique Optimal Solution ?
If not, get alternative Optimal Solution : How many
Optimal Solutions are possible ?

P Q R
A 2 5 6 10

B 4 3 4 6
4 7 5
[ 5 ] Following is one of the feasible solution of
“Maximization Transportation Problem”. Is it optimal
solution ? If not, get optimal solution. Is it a case of
unique optimal solution ?

A B C

X 4 4 9
14 11

Y 3 5 8
4 16
[ 6 ] A feasible solution of Minimization Transportation
Problem is given below.
( i ) Is it Optimal Solution ? If not, get it.
( ii ) Is the Optimal Solution unique ? Justify.

D1 D2 D3

2 4 10
O1 7 6

5 6 3
O2 8 5
 Thank you
For any Query or suggestion :
Contact :
Dr. D. B. Naik
Professor & Head, Training & Placement (T&P)
S. V. National Institute of Technology (SVNIT),
Ichchhanath, Surat – 395 007 (Gujarat) INDIA.

Email ID : [email protected]
[email protected]
[email protected]

Phone No. : 0261-2201540 (D), 2255225 (O)