Transportation & Assignment Problem (LPP Approach)

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5.

Transportation & Assignment Problem (LPP Approach)


1. To solve the following Transportation Problem develop Excel Model and find minimum
transportation cost with transportation schedule.
D1 D2 D3 Supply
F1 14 18 18 76
F2 26 34 26 82
F3 18 26 34 77
Demand 72 102 20

2. A manufacturer has distribution centers at Agra, Allahabad and Kolkatta. His retail outlets are
at A, B, C and D. The transport cost in rupees per unit between each center-outlet is given
below.
A B C D Supply
Agra 60 40 40 50 40
Allahabad 35 30 100 45 20
Kolkatta 40 60 95 35 40
Demand 25 10 20 45

Determine the optimal distribution so as to minimize the cost of transportation by


developing Excel Model.
3. A marketing manager has five salesman and five sales districts. Considering the capabilities
of the salesman and the nature of districts, the marketing manager estimates that the sales per
month (in hundred rupees) for each salesman in each district would be as follows:

Districts
A B C D E
S1 42 48 50 38 50
S2 50 34 38 31 46
Salesman S3 51 37 43 40 47
S4 32 48 51 46 46
S5 39 43 50 45 49

Develop Excel Model and find the assignment of salesman to districts that will result in
maximum sales.
4. Five workers are available to work with the machines and the respective costs in rupees
associated with each worker-machine are given below. A sixth machine is available to replace
one of the existing ones and the associated costs of that machine are also given below.
Machines
M1 M2 M3 M4 M5 M6
W1 12 3 6 15 5 9
W2 4 11 16 5 14 8
Workers W3 8 2 10 9 7 5
W4 20 7 8 6 12 10
W5 5 8 9 4 6 1

i. Develop Excel Model to solve above Assignment Problem.


ii. Determine whether the new machine can be accepted.
iii. Also determine the optimal assignment and the associated saving in cost.
5. A shipbuilding company has been awarded a big contract for the construction of five cargo
vessels. The contract stipulates that the total work to at least five small ancillary companies.
The company has invited bids from the small ancillary companies. The bids received from the
ancillary companies are given in the following table. Which bids should the company accept
in order to complete the contract at minimum cost? What is the total cost of the subcontract?

Subcontract Bids (Rs.)


Ancillary
Company Material Fabrication Assembl Scrap
Painting
Testing y Removal
A1 250000 300000 380000 500000 150000
A2 280000 260000 350000 500000 200000
A3 300000 350000 400000 550000 180000
A4 150000 250000 300000 480000 120000
A5 300000 270000 320000 480000 160000

6. A firm owns facilities at seven places. It has manufacturing plants at places A, B, and C with a
daily production capacity 600, 400 and 300 units respectively. It has warehouses at places P,
Q, R and S, with daily requirements of 230, 200, 450 and 420 units respectively. Per unit
transportation cost on different route combinations are given below. Solve this as a
transportation problem to minimize the total transportation cost.

Warehouses
Plants
P Q R S
A 12 10 12 13
B 7 11 8 14
C 6 16 11 7

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