BDS4614, MANAGEMENT DECISION SCIENCE

Tutorial 3

1. SA Global Technology sells mini computers to universities and colleges in Malaysia and ships them
from three distribution warehouses. The firm is able to supply the laptops to the universities from three
warehouses and to be distributed to four universities by the beginning of the academic year. The
shipping costs per laptop from each distributor to each university, supply at each warehouse and
demand at each university are summarized in the following table:

University Supply
Warehouse A B C D (units)
1 21 16 17 22 390
2 13 24 10 18 840
3 25 21 20 15 470
Demand(units) 450 275 565 410

a. Determine the initial solution using Northwest corner rule method and find the least cost schedule
using stepping stone method.
b. Determine the initial solution using VAM and find the least cost schedule using stepping stone
method.
c. What is the total minimum transportation cost?

2. The Saussy Lumber ships pine flooring to three building-supply houses from its mills in Pinesville, Oak
Ridge, and Mapetown.

TO SUPPLY MILL CAPACITY

FROM HOUSE 1 HOUSE 2 HOUSE 3 (TONS)
PINEVILLE $3 $3 $2 25
OAK RIDGE 4 2 3 40
MAPLETOWN 3 2 3 30
DEMAND 30 30 35

a. Determine the initial solution using Northwest corner rule method and find the least cost
schedule using MODI method.
b. Determine the initial solution using VAM and find the least cost schedule using MODI method.
c. What is the total minimum transportation cost?

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3. An air-conditioning manufacturer produces room air-conditioners at plants in Houston, Phoenix and

Memphis. These are sent to regional distributors in Dallas, Atlanta and Denver. The shipping costs vary
and the company would like to find the least-cost way to meet the demands at each of the distribution
centers. Dallas needs to receive 800 air conditioners per month, Atlanta needs 600, Denver needs 200.
Houston has 850 air conditioners available per month, Phoenix has 650 and Memphis has 300. The
shipping cost per unit from Houston to Dallas is $8, to Atlanta is $12 and to Denver is $10. The cost per
unit from Phoenix to Dallas is $10, to Atlanta is $14, and to Denver is$9. The cost per unit from
Memphis to Dallas is$11, to Atlanta is $8 and to Denver is $12. How many units should be shipped
from each plant to each regional distribution center? What is the total cost for this?

4. In a job shop operation, four jobs may be performed on any of four machines. The hours required for
each job on each machine are presented in the following table. The plant supervisor would like to assign
jobs so that total time is minimized. Use the assignment method to find the best solution.

Machine
Job W X Y Z
A12 10 14 16 13
A15 12 13 15 12
B2 9 12 12 11
B9 14 16 18 16

5. Four automobiles have entered Bubba’s Repair Shop for various types of work ranging from a
transmission overhaul to a brakejob. The experience levelof the mechanics is quite varied and Bubba
would like to minimize the time requiredto complete all of the jobs. He has estimated the time in
minutes for each mechanic to complete each job. Bill can complete Job 1 in 400 minutes, job 2 in 90
minutes job 3 in 60minutes and job 4 in 120 minutes. Taylor will finish job 1 in 650 minutes, job 2 in
120 minutes, job 3 in 90 minutes, job 4 in 180 minutes. Mark wil finish job 1 in 480 minutes, job 2 in
120 minutes, job 3 in 80 minutes and job 4 in 180 minutes. John will complete job 1 in 500 minutes,
job 2 in 110 minutes and job 3 in 90 minutes, job 4 in 150 minutes. Each mechanic should be assigned
to just one of these jobs. What is the minimum total time requiredto finish the four jobs? Who should be
assigned to each job?

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6. Allen Ryan,chairman of a college’s business department, has decided to apply the Hungarian method in
assigning professors to courses next semester. As a criterion for judging who should teach each course,
Professor Ryan reviews the past two years’ teaching evaluations (which were filled out by students).
Since each of the four professors taught each of the four courses at one time or another during the two-
year period, Ryan is able to record a course rating for each instructor. These ratings are shown in the
table. Find the best assignment of professors to courses to maximize the overall teaching rating.

Course
Job Statistics Management Finance Economics
Anderson 90 65 95 40
Sweeney 70 60 80 75
Williams 85 40 80 60
McKinney 55 80 65 55

7. Baseball umpiring cews are currently in four cities where three-game series are beginning. When these
are finished, the crews are needed to work games in four different cities. The distances (miles) from
each of the citieswhere the crews are currently working to the cities where the new games will begin are
shown in the following table:

To
From Kansas City Chicago Detroit Toronto
Seattle 1500 1730 1940 2070
Arlington 460 810 1020 1270
Oakland 1500 1850 2080 X
Baltimore 960 610 400 330

The X indicates that the crew in Oakland cannot be sent to Toronto. Determine which crew should be
sent each city to minimize the total distance traveled. How many miles will be traveled if these
assignments are made?