5.

7 SOLVED PROBLEMS:
Example 5:
A
A company is
(MU, Oct. 2019)
transporting its units from three manufacturing plante
PL,Pa and Ps to four distribution centers Di, Dz, D3 and s
and demand of units with unit cost of
D4. The sunn
schedule followed from transportation (in Rs.) and th
plants to distribution
(The numbers which are in circle indicates are centers
given below:
number ot units
from plant to distribution
center). transported
Manufact Distribution Centres
uring Supply
Plants D1 D2
P1 10
D D (Units)
11 4 40
P2 13 6
11 31
P 4 9
8 10 29
Demand 25 35 16 24
(Units) 100
i) Test the solution
for
ii) If solution is
not
optimality.
optimal find optimal solution.
 ms
n s p o r t a t i o nP r o b l e m s
161

Solution:
T e s t i n g

thesolution for
t h es o l u t

Optimality:
ol
DC cD D D D Supply
Plant

P
10 11
7 40 U-0

Pa
7-13 6 11 31 2
1
4+9 8 10 29 u3-2
Ps

25 35 16 24 100
Demand

V 6 v2=11 v=4 v=4

ACalculation for
Empty Cells:
A= Cost- (u + v)
EmptyCel 10-(0+6) = 4
PD 7-(0+4) =3
PDs 7-(2+6) =-1"
PaD 11-(2+4) =5
PD4 8-(-2+4) =6
PD
10-(-2+4) =8
PD
Solution Not Optimal.
Negative A,
P;D> -> P:D2> PaD
Loop: PD >

() ()
Value =15
Change=Min. of NegativeSign
i) D D Supply
DC D Da

Plant 40 u 0

10 11
P
16 6 |11 31 u2=1
P2 7 13
1 10 29 ug-2
Ps
(19
24 100
16
25 35
Demand
6 = 1 1 = 5 v 4
 162
Vipul's Operatio
for Empty Cells:
Researrh tA
A Calculation
Empty Cel A Cost-(u + v)
PD
10-(0 + 6) = 4
PD 7-(0+5) =2
P:D 13-(1 +11) =1
P:D 11-(1 +4) =6
PDa 8--2 +5) = 5
PD 10-(-2+ 4) = 8
No Negative a
Optimal Solution.
(ii) Optimal Transpotation Cost
(16 11)+ (24 x4)+ (15x 7) + (16 x 6) + (10 x 4) + (19
x
x9)
Rs.684
Example 6:
(MU, April 2019
You are given the per unit cost of transporting goods from 3
to 4 customers. factories
The 3 factories A, B and C have capacity to
units respectively.
supply 500, 300 and 200
20

The 4 customers P, Q R and 5 require 180, 150, 350 and 320

respectively. unit
nits
Customers P R
Factory
A 12 10 12 13
B 7 1 8 4
C 6 16 11 7
G) You are
required to find the Initial Basic Feasible Solution
Voge>'s Approximation Method. using
Gi) Find the total cost of
Solution:
transportation schedule obtained using VAM.

Supply (Units)
A Demand (Units)
500
B P 180
300
C Q 150
200
R 350
S 3220
1,000
1,000
Total Supply =
Total Demand
BalanceProblem
Cost data is
given
 ortationProblems
ms
163

Minimization Problem
R S
Q Supply Row Penalties
P
PPaPP P
10 12 13 500 2 2 2
12 150 230) (120)
8 14 300 1
120
7
(SO)

6
16 11 200 5
200
150 350 320 1000
180
mand 1000
3 6T
4 1
51
41

No. of Allocation
= 6

(m +n-1) = 3 +4-1 = 6

.. No. Degeneracy in IFS

i)VAMTotal Cost
=

(150x 10)+ (230 x 12) + (120 x 13)+

(180x 7) + (120 x 8) + (200 7)
x

Rs.9,440
(MU, April 2019)
Exaniple 7: in
You are given a for a transportation cost problem. Figures
solution
within
cost. Figures in circle
each cell represent per unit transportation
units allocated for transportation.
X, Y and
cell number of
each represent the 4 customers.
Lare the 3 factories and A, B, C and D are

A B C D Supply

19 0 200
X 13 7
(200
Y (120 (380
18 15 500
17
Z 180 (I00 20
5 300
11 22 14+
320 100 400
| Demand 180
 Vipul'sM
164

) Y o u are required
to check the above solution
Operations esearch BM
Res
on for optimality. to

(ii) If it is not optimal,

use modified distributiptimali Transpo

optimal solution.

(ii) Find optimal transportation cost.

method to

Solution:
Testing the solution for Optimality:
To A B C D
From Supply
13 7 19
200
(200 |U =0
Y 17 18
15 380O
120 500 u2 = 11
Z 11 22 14 200 5 300
(180 (100) u3=9
Demand 180 320 100 400
1000
V VI2 v2=7 |1000
V3 5 V4 4

A Calculation for
Empty Cells:
Empty Cell
A Cost (u + v)
X- A
13-(0+ 2) = 11
X-C
X- D 19-(0+5) =14
Y - A 0-(0+ 4) =4
i
Y-C 17-(11 +2) =4
Z B 15-(11 +5) =-1*
Negative A, Solution Not 22-(9+ 7) =6
Loop: YC » ZC » Optimal. E
ZD » YD
(+)
(+)
Change =Min. of Negative ( t
Sign Value =100
 165
tation
Problems
0 t a t t o n
P r o .

D
B C
Supply
mm
13 7 19 0 200 U-0
200)
17
18 15 7 500 U = 11

(120 100) 280

11 22 14 5 300 u 9

180
I(120
180 320 100 400 1000
1000
Demand

VI = 2 V27 V3= 4 V44

V

ACalculation for
Empty Cells:
Empty Cell A= Cost-(u + v)

X- A 13-(0+2) =11

X-C 19-(0+ 4) 15=

X-D 0-(0+ 4) 4 =

Y- A 17-(11+2) =4
Z-B 22-(9+7) =6
14-9+4) = 1
Z-C
No Negative a, Hence Optimal Solution.
ii) Optimal Transportation Cost:
(200x7)+(120x 18) + (100 x 15) +
(280x 7)+ (180 x 11)+ (120 x 5)

=Rs.9,600
Example 8;: (MU, April 2018)
 onveniel
Example9: HW (MU, April 2017)
an
A company hashas three factories Fi, Fh and Fa with supply of 800, 600
snits respectively. There are four warehouses Wi, W, W, and
nd 1000 u n i t s
with demand of 400, 500, 700 and 800 units respectively. A feasible
given below. (With allocations and unit cost data).
solutionis
Test
Test the
the solution
solutio for optimality using modified distribution method.
1f the solution
is not optimal, find optimal solution by modifying it.
Find minimum transportation cost.
 ViputTM
Operations Researe.
168
W
Researh (RME
To W W
Pom 12 6 20
25
Supply
500 800
300 11 15
12
F 500 600
T00
Fs
15 17
7 1000
200) 800
400 500 700 800
Demand
2400
2400
Solution:
Testing toroptimality:
Table 5.22

ToW W2 W W Supply
From
F TH. 6 20
25 800 U 0
-0
6 11 15 12 600
Ks00 u2-6
Fa 17 7 1000 u3 =-4
(200) 800
Demand 400 500 700 800 2400
12 V=6| V3 21 V=11
For empty cells:
Cell A cost-(u + v)
FWs 20-(0+ 21) =-1*
F W 25-(0+11) =14
FWa11-(-6+6)
F2
=11
W 12-(-6+11) 7
FW 9-(-4+ 12) =1
F W2
Negative A. 15-(-4+6) =
13

Not optimal.
Loop: FW
()
FW » FW FW
(+)
Change=300 units|
r t a t i o nP r o b l e m s

169

Table 5.23
W W W W Supply
To

From
Fromm
12 6 20 25 800 0
500) K300)
6 11 15 15 12 600 u-5
F2
400) 200)
Fs 9 15 17 7 1000 ug-3
200) K800)
400 500 700 800 2400
Demand

V2 = 6 V3 20 V4 = 10
VI ll
Vi

For empty cells:

A= cost- (u + v)
Cell
FW 12-(0+ 11) 1 =

F WA 25-(0+10) =15
F2 W2 11-(-5 +6) 10 =

F W 12-(-5+ 10) =7
9--3+11) =1
F3W
F W2 15-(-3+6)= 12
No Negative A.
Optimal Solution. (300 x 20) + (400 x 6) +

6)
Optimal Transportation Cost (500 = x +

200x15)+ (200x 17) + (800 x 7) = 23,400]

(MU, April 2016)
Example 10: factories F, F, Fs to
 PROBLEMS:
P R O H I B I T E D T R A N S P O R T A T I O N PROBLEMMS:

5.9
Example 15: luction units P.D
has four production units
company
manufacturing
A glass 7000 and 10,000 items per
and per day. The
5000, 8000,
and P producing and L3 having canas

has three storage

locations Li, L2 icity for
company a c c o m m o d a t e every day.
18000 items to
7000, 9000 and to Storage locations in Rs .
cost from Factory unit
The transportation
following cost matrix:
is given in the Storage Locations

L L2 Ls
2 7 4
P1
3 3 1
P2 7
5 4
Pa
1 2
6
P
from Factory Ps to Storage
i) Though the cost of transportation
yet this route cannot be
location L; is given in the cost matrix,
used due to certain operational constraint.
 nspo
0ortation Problems

185
termine
an initial feasible
initial

eeAproximation
rel's Approxim.
Method)
transportation
for the schedule using VAMM
total above
problems ms and
and also
lculate
the total
transportation cost for this transportation
tran. as

solution:
schedtule.
Supply Demand
P 5,000
L :7,000
P2 :8,000
P 7,000 L:9,000
La 18,000
P 10,000
Total Supply 30,000 Total Demand 34,000
Dummy Ps = 4,000

Dummy COst
= Zero

Note:
Route from tactory Pa to storage location Li is Prohibited.
Hence, Cost for Pa- Li = M (lInfinity) No transportation is possible on
this route.

IFS by VAM:

Table 5.366
Storage L La Ls Supply Row Penalties
Factory P P:P P Ps
P 2 4 5000 2 2 2 X
G000
P2 3 3 8000 2 2 2 XX
8000
P3 5 4 7 7000 11 1

2000) 5000)
4 X X|XX
Pa M 6 2 10000
X 10000)
Ps 0 0 4000 o0 X xX
4000)
34000
Demand 9000 18000 34000
7000
P 2 3
P2 2 31
P3 3

P 31
Ps
Check for Rim condition:
m+n-1 =5+3-1 =7
No. of Allocations = 6
 186 Vipul'sM Operations Resea (B
Degenerate Solution

Degree of Degeneracy = 1
One Epsilon is required
'e'in Ps-
Testing for Optimality:
Table 5.37
Storage L L2 La Supply
Factory ((000)
P 2 4 U =0

Pa 3 3 1 8 u2 0

P 7 |ug 3

P
- 1
M
6 2 10 U4 = 1

Ps 0 4
us-1
Demand 18 34
('000) 34
V1= 2 V2=1 V31

Cell A= cost-(uj + V)
P1-La A=7-(0+1) = 6
P1-La|A =4-(0 +1) =3
Pa-LA=3-(0+2)=1
Pa-La A =3-(0+ 1) =2
Pa-La A =7-(3 + 1) =3
P-L A = M-(1+2) = M
PA-La |A 6-(1+1) =4
Ps-L A=
0-(-1+2) =-1
APs-L= -1
. Solution not
optimal.
Loop will start from Ps - Li.
PsLi Ps L2> Ps L> P^Li-|
() (+)
pansportation
rtation Problems
19
Min.
Min. Negative
Neg sign value-2 187
Change-2

Storage
Table 5.38
Factory L Supply
P 000
y0
3 al

y-1 te
Ps
uy2
P M 6 2 10
Ps 0 0
uy - 2
Demand
18
(000)
34
V1=2
34
V22 V3 = 2

Check for Rim condition:

m+n-1 = 5+3-1 =7
No. of Allocations = 7

Rim conditions is satisfied.

No Degeneracy.
Testing for Optimality:
Cell A=cost-(u+ v)
P-La4=7-(0+2) =5

P1-La A=4-(0+2)=2
Pa-La4=3--1+2)=2
P2-LaA=3-(-1+2)=2
Pa-L AA5-(2+2)=1
Ps-La A=7-2+2)=3
P-L A M-(0+2)=M
Pa-LaA=6-(0+2)=4

No negative A.
.Optimal Solution.
 188 VY"V Vipul'sTM Operations Research (BMG
Optimal Schedule:

Factory Storage Quantity Unit Cost Total Cost

P1 L 5,000 2 10,000
P2 L3 8,000 1 8,000
P3 L2 7,000 4 28,000
P L3 10,000 2 20,000
Ps Li 2,000 zero zero

P L2 2,000 zero zero

P5 L3 E zero zero

. Optimalcost T66,000=

Example 16:
5.10 MAXIMIZATION PROBLEMS:
In a Transportation
problem, if profit or sales (revenue) data is given
then the objective of the
problem is to maximize the total profit or total
sales (revenue).
To solve a Maximization
Transportation problem, we should first
convert the problem in Minimization. This
process of conversion is
called preparation of Regret matrix. We select the
maximum profit
value in the problem and from that value we
subtract All profit values.
The resulting set of values is called
Regret or Opportunity cost matrix.
We solve the problem
using Regret values by normal method. But
for preparing the final
Transportation Schedule, we use original profit
values. Then we calculate
Optimal profit.
315p0rtation
o r t a t i o n p,
Problems
19

191
amle1
c o m p a n y
ny has 3 warehou1ses Wi,
A and w from where it
w),
markets
3 markets M,
M M; and M. supplies
0 and 10 000units. Market Availability at
warehouses 2000,
requirements are 1200, 1800 and 1000 units
is

patential per unit from each warehouse to

each market
P h o f

is as
l l o n ' s

To Profit Per Unit (Rs.)

From M1 M2 M3
W1 25 2 23
W2 15 te
20 18
W3 18 17 16
Find optimal transportation schedule to maximise total profit.
(MU, April 2014)

Solution:
Supply Demand
W1 2000 M1 1200

W2 1500 M2 1800

1000 M3 1000
w3
Total = 4500 Total= 4000

. Unbalanced problem

| Dummy M, 500
Total 4,500

zero
Dummy profit
=

. Profit matrix (7 /unit)

M2 M3 M4
M1
23 0
25 22
W1
20 18
W2 15
17 16
w3 18
Regret
matrix (? /unit)
values from 25)
(Subtracting all M4
M3
M2
M1 2
5

W1 0 25
5
W2 10 25
8
W3 7
 192 Vipl'M Operations Researrh ios
IFS by VAM:
Table 5.41
M1 M2 M3 M4 Supply Row Penalties
25 2000 P Pa P Pi
800 P
1500
W2 10 7 25 2 1 X

500
w3 8 9 25 1000 2 2 2
300 K200 500
Demand 1200 1800 1000 500 4500 1 11
4500
Column P1 5
Penalties P2 5T
P3 2 0
P4
P5
Check for Non-degeneracy:
m+n-1 = 3 + 4-1 =6
No. of Allocations =6
ok
Non-degenerate solution.
Testing for optimality by MODI method:
Table 5.42
M1 M2 M3 M4 Supply
W1

200
0
3 8002 25 2000 41 0

W2 10
5
K1500
25 1500 424
W3
7 K300 9 25 1000 4=7
200 K500)
Demand 1200 1800 1000 500
V
= 0 V2=1| V3 =2 V =18
 0
nans pr
otra
tati
tioon
nPP rr
oblems
193

Empty Cell
A cost (u +)
W, M2
A-3-(0 1)-2
W Ma A-25-(0 18) 7
W M A 10-(4+0) 6
WMa
A-7-(4+2) 1
W;M A 25-(4 18) 3
WMi A 7-(7+0) =0
No negativeA

Optimal solution

W'M; =0
m e a n s
there is alternate optimal solution.
It
Transportation Schedule

Total Profit
Warehouse
Market Quantity Unit Profit
Mi 1200 25 30,000
W 18,400
Ms 800 23
W 1500 20 30,000
W2 M2
300 17 5,100
W3 M2
200 16 3,200
W3 Ms
0 Zero
M4 500
W3
Optimal profit { 86,700||
=

Eaimple 18: W warehouses Wi,

and P3 and three
has three plants Pi, Pa warehouse is given in
A company
unit from each plant to each
and W3. Profit per
W;
Rs W W2 W3
\Warehouse|
Plant 56 60
P1 58
54 46
50
P2 74 76
70
P
Demand
Plant CapacityWarehous
1500
2000
Wi
P W2
3000
P2 2000 1500
2000
W3
Ps
and optimal profit.
Find optimal solution
 Vipul' Operatior
194 Research (BMS)
Solution:
Total Supply 6,000 units
Total Demand 6,000units
The problem is Balanced
Maximization type.
Since, profit is given, problem is of
Maximum unit profit = Rs. 76
Hence, to find egret matrix, we should subtract all profit valu
from 76.
Regret matrix:
Wi W2 W3
Warehouse
Plant
18 20 16
P
26 22 30
P3 6 0 2

Now we will use Regret values for solving the problem.

IFS by VAM:
Table 5.43
WH Wi W2 W3 Supply Row Penalties
Plant P P2 Ps | PPs
P 18 20 16 2000 22 2 X

500) K1500)
P2 26 22 30
1000 1000)
2000
|4 44
P3 6
2 0 2000 2 x

K2000
Demand 1500 3000 1500 6000
6000
P 12 18T 16
P2 8 2 14 T
Ps 81
Column
2 X
Penalties
P X

Ps
Check for Rim Condition:
m +n-1
=3+3- 1 = 5
No. of Entries 5 =

Rim condition is
satisfied. No Degeneracy.
 219
oortation Problems 195

yms
for
Optimality: Table 5.44
Tisth WH
W W W Supply ble
T l a n t

18 20 ns
16 2000 U0

U 8
26 22 30 2000
ime
K1000) mal

2 0 2000 U1-12

K20002 nate
1500 000 1500 6000
D e m a n d

6000
VI= 18 V2 = 14 V = 16

A= cost- (u + v)
Cell

PW2 A 20-(0+ 14) =6

P2W3 A =
30-(8 + 16) =6
0
|A 6-(-12 + 18)
=

P3W1 =

=-4*
PW A=0--12+ 16)
Solution not optimal.
Negative A.
from P3W3.
should start
Loop P2W2» P3W2
PW1> PzW1 >
P-W3 P,W3 >
(+)
(+) 9 ()
value = 1000
Min. Negative
sign
Change = 1000
Table 5.45
i
W3 Supply
W2
WH W
U =0
16 2000
Plant 20
18
P 500) u2 = 4
2000
K1500 22
30
26
P2 U3-l6
K2000) 0 2000
2
Ps 6 1000)
000 6000
1500
3000
Demand 1500 6000
V3= 16
V2= 18
V
V= 18
 196 pinet
Vipul'sTM Operations Research (RNA
MS
Check for Rim Condition:
m + n-1 =
3+3- 1 =5
No. of Entries = 5
Rim Condition is satisfied. No Degeneracy.
A = cost - (u + v)
Cell
PW2 A 20-(0 + 18) 2
=

P2W A 26-(4 + 18) =4

P2W3 A 30(4+ 16) =10
A = 6-(-16 + 18) = 4
PW
No negative A. Solution is optimal.
Note: For writing Transportation schedule, we must use
profit values. original
Transportation Schedule:
Plant Warehouse Quantity Unit Profit| Total Profit
P W 1500 58 87000
P W3 500 60 30000
P2 W2 2000 54 108000
P3 W2 1000 74 74000
Pa W3 1000 76 76000
.Optimal profit =
Rs. 3,75,000
Unbalanced Maximization Problem:
FYamnlo