Module 2:

Transportation Problem

28-10-2022 Prof. Shankarappa Kalgudi 1

Syllabus
Formulation of transportation problem
Types
Initial basic feasible solution (IBFS)
using 1. North-West Corner rule (NWCM)
2.Least cost method (LCM)
3.Vogel’s Approximation method (VAM).
Optimality in Transportation problem by Modified Distribution (MODI) method.
Unbalanced T.P. Maximization T.P. Degeneracy in transportation problems,
Application of transportation problem.
1.Assignment problems
2.Travelling salesman problems

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Introduction
Transportation: Transporting/shifting a goods from source place to
destination
The transportation problem is a special type of linear programming
problem where the objective is to minimize the cost of distributing a
product from a number of sources or origins to a number of destinations.
The transportation problem indicates the amount of consignment to be
transported from various origins to different destinations so that the total
transportation cost is minimized without violating the availability
constraints and the requirement constraints.
Because of its special structure, the usual simplex method is not suitable
for solving transportation problems. These problems require a special
method of solution.
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 AIM OF TRANSPORTATION PROBLEM:
• To find out the optimum transportation schedule keeping in
mind cost of Transportation to be minimized.
• The origin of a transportation problem is the location from
which shipments are despatched.
• The destination of a transportation problem is the location to
which shipments are transported.
• The unit transportation cost is the cost of transporting one unit
of the consignment from an origin to a destination

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Prof. Shankarappa Kalgudi
 Applications of Transportation Problems
• It is used to compute transportation routes in such a way as to
minimize transportation cost for finding out locations of
warehouses.
• Minimize shipping costs from factories to warehouses or from
warehouses to retail outlets.
• Determine lowest cost location for new factory, warehouse,
office or other outlet facility.
• Find minimum cost production schedule that satisfies firms
demand and production limitations.

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 Types of Transportation Problem
• Balanced transportation :Where the total supply equally total demand.
• Unbalanced transportation : Where the total supply is not equally total
demand.

Phases of Transportation Problem

PHASE I:- Obtains the Initial Basic Feasible Solution.
PHASE II:- Obtains the Optimal Basic Solution.
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 Phase-I Initial basic feasible solution (IBFS)
by
• NWCM (North West Corner Method)
• LCM (Least Cost Method) or Matrix Minima Method
• VAM (Vogel’s Approximation Method or Penalty Method

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Finding IBFS by NWCM technique
Problem 1: Use North west corner method (NWCM) to find an initial
basic feasible solution (IBFS) to transportation problem

DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 7

S2 70 30 40 60 9

S3 40 8 70 20 18

Demand 5 8 7 14

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 DESTINATIONS (To)
NWCM Technique

D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 7
S2 70 30 40 60 9
S3 40 8 70 20 18
Demand 5 8 7 14

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 DESTINATIONS (To)
NWCM Technique

D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 7
S2 70 30 40 60 9
S3 40 8 70 20 18
Demand 5 8 7 14

Transportation cost= 19x5 + 30x2 + 30x6 + 40x3 + 70x4 + 20x14

= Rs. 1015

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Finding IBFS by LCM(Least cost method) or Matrix minima
method
Problem 2: Use LCM to find an initial basic feasible solution (IBFS) to
transportation problem
DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 7
S2 70 30 40 60 9
S3 40 8 70 20 18
Demand 5 8 7 14

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LCM technique
Problem 3: Use LCM to find an initial basic feasible solution (IBFS) to
transportation problem
DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 10
S2 70 30 40 60 9
S3 40 8 70 20 17
Demand 5 11 6 14

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 LCM technique
DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 10
S2 70 30 40 60 9
S3 40 8 70 20 17
Demand 5 11 6 14

Transportation cost= 70x5 + 40x5 + 8x5 + 40x5 + 10x5 + 20x10

= Rs.
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Problem 4: Find IBFS by using NWCM and LCM techniques

DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 22 40 40 20 17
S2 60 40 50 50 10
S3 20 18 60 30 18
S4 12 10 16 33 09
Demand 15 18 7 14

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 Solution by LCM
DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 22 40 40 20 17
S2 60 40 50 50 10
S3 20 18 60 30 18
S4 12 10 16 33 09
Demand 15 18 7 14

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Finding IBFS by Vogel’s approximation method (VAM) or by
penalty method
Problem 5: Use VAM to find an initial basic feasible solution (IBFS) to
transportation problem
DESTINATIONS (To)
D1 D2 D3 D4 Supply
SOURCES (From)

S1 19 30 50 10 7
S2 70 30 40 60 9
S3 40 8 70 20 18
Demand 5 8 7 14

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Steps to be followed for VAM
1. Check whether given problem is balanced or not? If not, make it balanced
transportation problem
2. Write penalties for each row and each column by taking difference of smallest
and next smallest cost.
3. Among the penalties as found in step2 choose highest penalty. If there are two
maximum penalties choose any one arbitrarily.
4. In the selected row/column as by step3 find out the cell having least cost.
5. Allocate to this as much as possible depending on capacity (supply) and
requirements (demands), delete the row/column which is fully exhausted.
6. Again compute the row and column penalties for reduced transportation table
(step2). Repeat the procedure until all the rim requirements are satisfied.
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Finding IBFS by VAM or Penalty method
destination Penalties
[[[ D1 D2 D3 D4 Supply
P1 P2 P3 P4
Source (From)

S1 19 30 50 10 7
S2 70 30 40 60 9
S3 40 8 70 20 18
Demand
5 8 7 14
Penalties

P1
P2
P3
P4

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Solution of IBFS by VAM or Penalty method
destination
D1 D2 D3 D4 Supply
Source (From)

S1 19 30 50 10 7

S2 70 30 40 60 9

S3 40 8 70 20 18
Demand
5 8 7 14

Transportation cost : 19x5 + 8x8 + 40x7 + 10x2 + 60x2 + 20x10 = 779

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Problem 6: Find an initial basic feasible solution (IBFS) by VAM
when unit transportation cost, supply and demands are given in
transportation problem
DESTINATIONS (To)
D1 D2 D3 D4 Supply

O1 6 1 9 3 70
Origins (From)

O2 11 5 2 8 55

O3 10 12 4 7 70

Demand 85 35 50 45

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 In the given problem sum of demands = 215 is not equal to sum of supply i.e
195, Therefore given problem is unbalanced, convert to balanced TP by
adding Dummy origin with 20 demands Penalties
D1 D2 D3 D4 Supply P1 P2 P3 P4
Origin (From)

O1 6 1 9 3 70
O2 11 5 2 8 55
O3 10 12 4 7 70
O4 (dummy) 0 0 0 0 20
Demand 85 35 50 45
Penalties

P1
P2
P3
P4
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Problem no. 7 Find Transportation cost to given transportation problem

Destinations Capacity

D1 D2 D3 D4

S1 11 13 17 14 250
Sources

S2 16 18 14 10 300

S3 21 24 13 10 400

Requirements 200 225 275 250

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 Penalties
D1 D2 D3 D4 Supply P1 P2 P3 P4
Origin (From)

O1 11 13 17 14 250
O2 16 18 14 10 300
O3 21 24 13 10 400
Demand 200 225 275 250
Penalties

P1

P2

P3

P4

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Optimization of Transportation Problem by
Modified Distribution (MODI) method
• Step 1: check, is m+n-1 = no. of allocation ??
Otherwise make it equal.
• Step 2: Find ui’s and vj’s for allocated cells.
• Step 3:Find Δij = Cij – (ui+vj) for unallocated cells.
• If all Δij are ≥ 0 then the solution is optimum.
• If any Δij ≤ 0 then shift allocation to other cell and
repeat all steps.
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 Optimization of Transportation Problem by Modified Distribution (MODI) method

D1 D2 D3 D4 Supply
Origin (From)

M = No. of rows = 3
11 13 17 14 250 N= No. of columns = 4
O1
No. of allocations= 6
O2 16 18 14 10 300

O3 21 24 13 10 400

Demand 200 225 275 250

3x4

Step 1: Check M+N-1 = No. of allocations = 6

Step 2: Find ui’s and vj’s for allocated cells

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Step 2: Finding ui’s and vj’s for allocated cells
V1= V2= V3= V4=

U1= 11 13 17 14

U2= 16 18 14 10

U3= 21 24 13 10

For allocated cells, consider anyone as zero u1=0

u1 + v1 = 11 0 + v1 = 11, v1=11
u1 + v2 = 13 0 + v2 = 13, v2 =13
u2 + v2 = 18 u2 + 13= 18, u2= 5
u2 + v4 = 10 5 + v4 = 10, v4= 5
u3 + v4 = 10 u3+ 5 = 10, u3=5
u3 +28-10-2022
v3 = 13 5 + v3= 13, v3= 8 26
Prof. Shankarappa Kalgudi
Step 3: Finding Δij = Cij – (ui+vj) for unallocated cells
V1= 11 V2= 13 V3= 8 V4= 5

U1= 0 11 13 17 14
Hence, all Δij = Cij – (ui+vj) ≥ 0
U2= 5 16 18 14 10

U3= 5 21 24 13 10 Therefore IBFS itself will

be final answer.
For unallocated cells, Δij = Cij – (ui+vj) Transportation cost =
Δ13 = C13 – (u1+v3) = 17- (0+8) = 9 11x200 + 13x50 + 18x175 +
Δ14 = C14 – (u1+v4) = 14 – (0+5) = 9 10x125 +13x275 + 10x125
Δ21 = C21 – (u2+v1) = 16 – (5+ 11) = 0 = Rs. _____/-
Δ23 = C23 – (u2+v3) = 14 – (5+8) = 1
Δ31 = C31 – (u3+v1) = 21 – (5 +11) = 5
Δ3228-10-2022
= C32 – (u3+v2) = 24 – (5 + 13)Prof.=Shankarappa
6 Kalgudi 27
Problem 8: Formulation of Transportation problem
A product is produced by 4 factories F1 F2 F3 and F4. Their unit
production cost are Rs 2, 3, 1 and 5 respectively. Production capacity of the
factories are 50, 70, 40 and 50 units respectively. The product is supplied to
4 stores S1, S2, S3 and S4, the requirements of which are 25, 35, 105 and 20
respectively. Unit costs of transportation are given below.
Find the transportation plan such that the total production and
transportation cost is minimum
Stores S1 S2 S3 S4
F1 2 4 6 11
Factory

F2 10 8 7 5
F3 13 3 9 12
F4 4 6 8 3
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 Solution: Formulated Transportation problem will be

Stores Capacity
S1 S2 S3 S4
F1 2 +2 4+2 6+2 11+2 50
Factory

F2 10+3 8+3 7+3 5+3 70

F3 13+1 3+1 9+1 12+1 40
F4
4+5 6+5 8+5 3+5 50
Requirements 25 35 105 20

Solved this problem on Board on 31.05.2021

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Problem no. 9: A company operates 3 coal mines A,B, C which
provides 400, 500 and 700 tonnes of coal respectively per
week. Orders for 500, 400, 300, 300 and 600 tonnes per week
has been received from customers C1, C2, C3, C4 and C5
respectively. Transportation cost in rupees per tonne from each
mine to each customer are given below. Find the weekly
transportation schedule which minimizes the total expenses.
C1 C2 C3 C4 C5
A 4 16 1 16 14
B 18 10 8 12 12
C 6 1 4 13 2
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Solution: If the question is find transportation cost means, we need to
solve Phase-1 (IBFS) and Phase-2 (Optimization of phase-1)
Step 1: check, is
C1 C2 C3 C4 C5 Supply Σ supply = Σ demand ?
A 4 16 1 16 14 400
If not make it equal
B 18 10 8 12 12 500
Σ supply = 1600
C 6 1 4 13 2 700 Σ demand = 2100

Demand 500 400 300 300 600

Therefore, add Dummy coal
mines (D) with supply of 500
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 Penalties
C1 C2 C3 C4 C5 Supply P1 P2 P3 P4
A 4 16 1 16 14 400
B 18 10 8 12 12 500
C 6 1 4 13 2 700
D 0 0 0 0 0 500
(Dummy)
Demand 500 400 300 300 600 2100
Penalties

P1

P2

P3

P4

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Prohibited Route
In a transportation problem, in some instances due to some practical
reasons it may not be possible to transport goods/units by using particular
routes.
For which no allocation of units should be made

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Prohibited Route (Problem 10)

Ans: Optimum Cost Rs. 305/-

Observation: The solution is optimum after two iterations
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 Maximization Problem
When the elements of transportation table (matrix) represents PROFITS
instead of COST, the objective is to maximize instead of minimize

To solve this problem, transform the profits to relative costs. This is done
by subtracting all the elements from the largest element in the matrix.
The solution procedure is same as that of minimization problem but the
total profit is calculated using the PROFIT MATRIX

Profit = Sales price – (production cost + Transportation cost + material cost)

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 Maximization Problem (Problem 11)
A firm produces a component and distributes them to 5 wholesalers at a
fixed price of Rs.10/- unit. Sales forecast indicate that monthly demand will
be 3000, 3000, 1000, 5000 and 4000 units at wholesale dealers a,b,c,d and e
respectively. The monthly production capacities are 5000, 1000 and 10000
at plants A,B and C respectively. The unit transportation cost in Rs.
Between the plants and wholesalers are given in the following table.
Wholesaler a b c d e Determine the transportation
A 0.5 0.5 1.0 1.5 1.5 schedule between plants and
Plant

B 1.0 1.5 1.0 1.0 1.5 wholesalers in order to maximize

the total profit per month. Use
C 1.0 1.0 0.5 1.5 1.0 NWCM to obtain the IBFS.

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Solution:
Profit = Sales price – transportation cost
Wholesaler a b c d e
A 10-0.5 10-0.5 10-1.0 10-1.5 10-1.5
Plant

B 10-1.0 10-1.5 10-1.0 10-1.0 10-1.5

C 10-1.0 10-1.0 10-0.5 10-1.5 10-1.0

Wholesaler a b c d e
A 9.5 9.5 9 8.5 8.5 PROFIT
Plant

B 9 8.5 9 9 8.5 MATRIX

C 9 9 9.5 8.5 9
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PROFIT (MAXIMIZATION) MATRIX
Wholesaler a b c d e Capacity
A 9.5 9.5 9 8.5 8.5 5000
Plant

B 9 8.5 9 9 8.5 1000

C 9 9 9.5 8.5 9 10000

Demand 3000 3000 1000 5000 4000

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Converting Profit (Maximization) Matrix to Cost (minimization) matrix
1. Identify Highest Profit in the matrix
2. Subtract all the cell values individually in the highest profit.
3. Converted matrix (Cost matrix) can be solved with usual
methods.(IBFS and MODI method)
4. At the end, for finding Profit use Profit/Maximization matrix only

From the Maximization matrix,

9.5 is Maximum value, so subtract all cells in 9.5

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Wholesaler a b c d e Capacity
A 9.5-9.5 9.5-9.5 9.5-9 9.5-8.5 9.5-8.5 5000
=0 =0 = 0.5 =1 =1
Plant

B 9.5-9 9.5-8.5 9.5-9 9.5-9 9.5-8.5 1000

= 0.5 =1 = 0.5 = 0.5 =1
C 9.5-9 9.5-9 9.5-9.5 9.5-8.5 9.5-9 10000
= 0.5 = 0.5 =0 =1 = 0.5

Deman 3000 3000 1000 5000 4000

d
Converted to Cost (Minimization) Matrix
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Cost (Minimization) Matrix
Solving minimization problem by NWCM to get IBFS
a b c d e Capacity

A 0 0 0.5 1 1 5000

B 0.5 1 0.5 0.5 1 1000

Plant

C 0.5 0.5 0 1 0.5 10000

Demand 3000 3000 1000 5000 4000

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Find total profit from multiplying allocations with profit
(use profit matrix)
a b c d e
A
9.5 9.5 9 8.5 8.5
B
9 8.5 9 9 8.5
C

9 9 9.5 8.5 9

Total Profit = 9.5x3000 + 9.5x2000 + 8.5x1000+9.5x1000+

8.5x5000 + 9x4000=
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 Maximization problem (Problem 12)

Ans: Rs 15500
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Maximization problem (Problem 13)

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1. Creating Maximization Matrix
Profit= Sales price – (Transportation cost + Production cost + Raw material cost)

2. Write Maximization Matrix (Profit Matrix)

3. Convert Maximization into Minimization by
-Identifying highest profit in Profit matrix
- Subtract all the elements in that no.
4. Solve IBFS by VAM
5. Optimize the given problem by MODI method

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Creating
Maximization(Profit)
matrix

F1 F2 F3 F4
S1 34-(3+15+10) 34-(9+18+9) 34-(5+14+12) 34-(4+13+9)
=6 = -2 =3 =8
S2 32-(1+15+10) 32-(7+18+9) 32-(4+14+12) 32-(5+13+9)
=6 = -2 =2 =5
S3 31-(5+15+10) 31-(8+18+9) 31-(3+14+12) 31-(6+13+9)
=1 = -5 =2 =3
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 Converting from
Maximization(Profit) matrix Maximization(Profit) matrix to
F1 F2 F3 F4 minimization (cost) matrix
S1 6 -2 3 8 F1 F2 F3 F4
S1 8-6 8-(-2) 8-3 8-8
S2 6 -2 2 5 =2 = 10 =5 =0
S3 1 -5 2 3 S2 8-6 8-(-2) 8-2 8-5
=2 = 10 =6 =3

S3 8-1 8-(-5) 8-2 8-3

=7 = 13 =6 =5

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Solve minimization by VAM method
F1 F2 F3 F4 Demand
Step 1: check, is
S1 8-6 8-(-2) 8-3 8-8 80 Σ supply = Σ demand ?
=2 = 10 =5 =0
If not make it equal
S2 8-6 8-(-2) 8-2 8-5 120
=2 = 10 =6 =3 Σ supply = 310
Σ demand = 350
S3 8-1 8-(-5) 8-2 8-3 150
=7 = 13 =6 =5
Therefore, add Dummy
Factory (F5) with supply of 40
Supply 10 150 50 100
Dummy column

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Solve minimization by VAM method Penalties
F1 F2 F3 F4 F5 Demand P1 P2 P3 P4 P5
S1 2 10 5 0 0 80

S2 2 10 6 3 0 120

S3 7 13 6 5 0 150

Supply 10 150 50 100 40 350

Penalties

P1

P2

P3

P4

P5
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 IBFS Solution by VAM techniques
F1 F2 F3 F4 F5 Demand
S1 2 10 5 0 0 80

S2 2 10 6 3 0 120

S3 7 13 6 5 0 150

Supply 10 150 50 100 40 350

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Optimization of Transportation Problem by Modified Distribution (MODI) method

M = No. of rows = 3
N= No. of columns = 5
No. of allocations=

3x5

Step 1: Check M+N-1 = No. of allocations =

Step 2: Find ui’s and vj’s for allocated cells

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Problem No. 14
A leading firm has three auditors. Each auditor can work upto 160 hrs during the
next month, during which three projects must be completed. Project 1 will take 130
hrs, project 2 will take 140 hrs and the project 3 will take 160 hrs. The amount per
hour that can be billed for assigning each auditor to each product is given below.

project
project 1 project 2 project 3
Auditor 1 1200 1500 1900
Auditor 2 1400 1300 1200
Auditor 3 1600 1400 1500

Formulate this as transportation problem and find the optimal solution. Also find out
the maximization total billings during next month.

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 Project 1 project 2 project 3 Supply Sum of Supply= 160+160+160= 480
Auditor 1 1200 1500 1900 160 Sum of Demand= 130+140+160= 430
Auditor 2 1400 1300 1200 160
Sum of Supply ≠ Sum of Demand
Auditor 3 1600 1400 1500 160
⸫ It is not balanced.
Demand 130 140 160 430\480

Converting unbalancing problem to a balancing problem

Project 1 project 2 project 3 Project 4 Supply
(dummy)
1 1200 1500 1900 0 160
Maximization
Matrix
2 1400 1300 1200 0 160
3 1600 1400 1500 0 160
Demand 130 140 160 50 480
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As the given problem is maximization, for solving this
Convert Maximization into minimization by
-Selecting highest no. in the matrix and subtract all the numbers in that

P1 P2 P3 P4 Supply
A1 700 400 0 1900 160 Minimization
A2 500 600 700 1900 160
Matrix
A3 300 500 400 1900 160
Demand 130 140 160 50 480

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 P1 P2 P3 P4 (D) Supply P1 P2 P3

A1 700 400 160 0 1900 160 400 --- ---

A2 500 110 600 700 50 1900 160 100 100 1300
A3 130 300 30 500 400 1900 160 100 200 1400
Demand 130 140 160 50 480

P1 200 100 400 0

Total cost of Transportation:
P2 200 100 --- 0
= Rs 697,000
P3 --- 100 --- 0

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 Optimization of given problem by MODI method
Step1: Xij=m+n-1=(3+4-1)=6 Xij<6, where, Xij= No. of allocations
IBFS obtained is degenerate in nature.
To remove degeneracy, add ∆ to the least cost that is 400, where closed loop cannot b
constructed.
Step 2: Finding ui’s and vj’s for allocated cells

P1 P2 P3 P4 Ui
A1 700 400 160 0 1900 U1=-400
A2 500 110 600 700 50 1900 U2=100
A3 130 300 30 500 ∆ 400 1900 U3=0

Vj V1=300 V2=500 V3=400 V4=1800

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Step 3: Finding Δij for unallocated cells
dij=Cij-(Ui+Vj) Now, all Δij are positive,
hence obtained allocation
d11=700-(-400+300)=800
from IBFS is optimized, so
d12=400-(-400+500)=300
find the maximization by
d14=1900-(-400+1800)=500 using Maximization matrix
d21=500-(100+300)=100
d23=700-(100+400)=200
d34=1900-(0+1800)=100

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 Finding optimized value for given problem
Project 1 project 2 project 3 Project 4 Supply
(dummy)
Maximization
1 1200 1500 1900 0 160
Matrix
2 1400 1300 1200 0 160
3 1600 1400 1500 0 160
Demand 130 140 160 50 480

Answer= 1900x160 + 1300x110 +0x50 + 1600x130 +1400x30 + 1500x0

=
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Minimization problem (Problem 14)

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 ASSIGNMENT PROBLEMS
• An assignment problem is a special case of transportation
problems where the objective is to assign each source
exclusively to each destinations [supply=demand=1 for each
source and destination]
• If there are 5 jobs and 5 workers, objective is to assign each
worker to a particular job so as to minimize cost or maximize
profit.

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Difference between Transportation problem and Assignment problem

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 Assignment Problems by Hungarian Method
1. Check No. of rows should be equal to No. of columns [m=n] [square matrix]
-If not equal, make it equal by adding dummy row/column
2. Row iteration
-Select least number in each row and subtract from all elements in the same
row
3. Column iteration
-Select least number in each column and subtract from all elements in the
same column
4. Ensure that each row and column having atleast one zero
5. Assign a zero in any row/column and cancel all the zeroes in the row and
column corresponding to that element(which is assigned)
6. At the end check n=N, where N= no. of assigned and n= no. of rows/columns
If n ≠ N, then proceed with further steps
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Problem 1: Assign one book to one typist inorder to minimize cost
B1 B2 B3 B1 B2 B3 Step 3: Column iteration
T1 120 100 80 T1
T2 80 90 110 T2
T3 110 140 120 T3

Step1: Check m=n

Step2: Row iteration Book Typist

B1 B2 B3 B1-
T1
B2-
T2
B3-
T3
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Problem 2: Given below is the time required (in days) when a
particular software program module is assigned to a particular
programmer
Programmer
A B C D
1 12 10 8 9
2 8 9 11 7
Module

3 11 14 12 10
4 9 9 8 9

Assign the modules to the different programmers in such a way that the total computing time is least

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Solution: Check given problem Step 3: Column minimization
n=m?? A B C D A B C D
1 12 10 8 9 1

2 8 9 11 7 2
3
3 11 14 12 10
4
4 9 9 8 9

Step 2: Row minimization Assignment Cost

A B C D 1–
1
2–
2
3
3–
4 4 --
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Unbalanced Assignment Problems
Problem 3: Three jobs are to be by 4 machines. Each job can be
assigned to one and only one machine. The cost of each job on each
machine is given in the following table.
M1 M2 M3 M4
J1 18 24 28 32
J2 8 13 17 19
J3 10 15 15 22

What are the job assignments which will minimize the total cost?

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Solution: Check given problem Step 2: Row minimization
n=m?? n≠m M1 M2 M3 M4
J1
M1 M2 M3 M4 J2
J1 18 24 28 32
J3
J2 8 13 17 19 J4
J3 10 15 15 22
Step 3: Column minimization
J4
M1 M2 M3 M4
(Dummy)
J1
J2
J3
J4
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Steps to follow in assignment
if no. of allocations ≠ no. of rows/columns
1. Draw minimum no. of horizontal and vertical lines which covers all
zeroes
2. Identify Least number from uncovered (unstriked) element
3. Subtract that least no. from all uncovered elements
4. Add that least no. at all intersections
5. Solve with usual method by assigning to zeroes
6. If again no. of allocations ≠ no of rows/columns, Then repeat from
step 1 till you get the answer.

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 M1 M2 M3 M4
J1 0 6 10 14
J2 0 5 9 11
J3 0 5 5 12
J4 0 0 0 0

M1 M2 M3 M4
J1 0 1 5 9
J2 0 0 4 6
J3 0 0 0 7
J4 5 0 0 0

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 Maximization in Assignment Problems
In certain assignment problems, the entries that are given in the matrix represents profit
elements rather than cost elements, in this we need to maximize the matrix.
Steps to be followed for solving Maximization matrix
1. Creating Maximization Matrix
2. Convert Maximization into Minimization matrix by
-Identifying highest profit in maximization matrix
- Subtract all the elements in that highest profit.
3. Solve minimization matrix by Hungarian method
-Row minimization
-Column minimization
- Assigning to zeroes row/column wise
4. Check the optimality (n=N), if not equal, then proceed further steps.
5. For writing answer, use Maximization matrix only
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 Maximization in Assignment Problems
Problem 4: A company has 4 salesman A,B,C and D. These salesman are
to be allotted 4 cities 1,2,3 and 4. The estimated profit per day for each
salesman in each city is given in the following table
1 2 3 4
A 16 10 14 11
B 14 11 15 15
C 15 15 13 12

D 13 12 14 15

What is the optimum assignment which will yield maximum profit?

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Solution for solving Maximization Assignment Problems
Step 1: Convert Maximization into minimization by identifying Highest no. and subtract all the numbers
in that

1 2 3 4 1 2 3 4
A 16 10 14 11 A

B 14 11 15 15 B

C 15 15 13 12 C

D 13 12 14 15 D

GIVEN MATRIX Minimization Matrix

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Step 2: Row minimization Step 3: Column minimization

1 2 3 4 1 2 3 4
A A

B B

C C

D D

Row iteration Column iteration

For Optimiality check is N=n?? Otherwise proceed to further steps

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 Prohibited or Restricted Assignments

In certain assignment problems, it may not be possible to

assign a particular task to a particular facility due to some
reason or restriction. In such cases, the cost element for such
combination is considered a very big cost say ∞.
When ∞ becomes the cost, it will automatically get excluded
in the process of assignment.

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 Prohibited or Restricted Assignment Problem
Problem 5: The layout of a plant is being modified. Four new
machines M1, M2, M3 and M4 are to be installed in the machine shop.
There are 5 vacant places A,B,C, D and E available. Because of space
constraints machine M2 cannot be placed at C while M3 cannot be
placed at A. The cost of locating machines to vacant places is shown
below. A B C D E
M1 9 11 15 10 11
M2 12 9 - 10 9
M3 - 11 14 11 7

M4 14 8 12 7 8

Find the optimum assignment schedule. Which space is left vacant

after the assignment?
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 Solution: Check given problem n=m?? Step 2, 3 : Since column minimization is not
n≠m required, only row minimization is sufficient
⁂ First convert it into balanced by introducing A B C D E
a dummy row where all elements are zero. M1
Also introduce ∞ as the cost element for those
restricted machines M2 ∞
M3 ∞
A B C D E
M1 9 11 15 10 11 M4
M2 12 9 ∞ 10 9 M5
M3 ∞ 11 14 11 7 (Dummy)

M4 14 8 12 7 8

M5 0 0 0 0 0
(Dummy)
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 Travelling Salesman Problem (TSP)
Assuming a salesman has to visit n cities.
He wishes to start from a particular city, visit each
city once and then return to his starting point.
His objective is to select the sequence in which the
all cities are visited to minimize the total distance or
total travelling time.
These problems can be solved by using Hungarian
method.
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Problem 1: A travelling salesman has to visit 5 cities. He wishes to
start from a particular city, visit each city once and then return to his
starting point. Cost of going from one city to another is shown below.
You are required to find the least cost route.
To city
A B C D E
A ∞ 4 10 14 2
From City B 12 ∞ 6 10 4
C 16 14 ∞ 8 14
D 24 8 12 ∞ 10
E 2 6 4 16 ∞

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 To city Row Minimization
A B C D E A B C D E
A ∞ 4 10 14 2 A ∞
From City

B 12 ∞ 6 10 4 B ∞
C 16 14 ∞ 8 14 C ∞
D 24 8 12 ∞ 10 D ∞
E 2 6 4 16 ∞
E ∞
A B C D E
Column A ∞
Minimization B ∞
C ∞
D ∞
E ∞
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28-10-2022 Prof. Shankarappa Kalgudi 81
Problem 2: A machine operator processes five types of items on his
machine each week and must choose a sequence for them. The setup
cost per change depends on the items presently on the machine and
set-up to be made according to the following table.
To item
A B C D E
A ∞ 4 7 3 4

From item
B 4 ∞ 6 3 4
C 7 6 ∞ 7 5
D 3 3 7 ∞ 7
E 4 4 5 7 ∞
If he processes each type of item once and only once in week, how
should he sequence the items on his machine in order to minimize the
total set-up cost?
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 To item Row Minimization
A B C D E A B C D E
A ∞ 4 7 3 4 A ∞
From item

B 4 ∞ 6 3 4 B ∞
C 7 6 ∞ 7 5 C ∞
D 3 3 7 ∞ 7 D ∞
E 4 4 5 7 ∞
E ∞
A B C D E
Column A ∞
Minimization B ∞
C ∞
D ∞
E ∞
28-10-2022 Prof. Shankarappa Kalgudi 83
aecbda
Problem 3: Solve the travelling salesman problem using the
given data. C12=20, C13=4, C14=10, C23=5, C34=6,
C25=10, C35=6, C45=20 where Cij=Cji of there is no
route between i and j if a value for Cij is not shown.
Ans: 1-4-5-2-3-1
Solution: To city ∞ ∞

1 2 3 4 5 ∞
1
From city

2
3 ∞
4 ∞
5 ∞
28-10-2022 Prof. Shankarappa Kalgudi 84
 To city To city
1 2 3 4 5 1 2 3 4 5
1 ∞ 20 4 10 ∞
1 ∞ ∞
From city

From city
2 20 ∞ 5 ∞ 10 ∞ ∞
2
3 4 5 ∞ 6 6 ∞
3
4 10 ∞ 6 ∞ 20
4 ∞ ∞
5 ∞ 10 6 20 ∞
5 ∞ ∞
Row minimization
To city Column Minimization

1 2 3 4 5
1 ∞ ∞
From city

2 ∞ ∞
3 ∞
4 ∞ ∞
5 ∞
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∞ Prof. Shankarappa Kalgudi 85
Solve Assignment Problem

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28-10-2022 Prof. Shankarappa Kalgudi 87
• Attendance on June 14

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Model question paper (I-IA )
1. Theory question on module 1 [5]
2. Formulation of LPP [5]
3. Formulation of LPP and solving by graphical method [8]
4. Theory question on transportation, assignment and TSP [5]
5. IBFS by NWCM or LCM or VAM [5]
6. Optimization of transportation problem by MODI method [6]
7. Maximization problem [6]
8. Assignment problem (minimization or maximization) [5]
9. Travelling salesman problem [5]
10. Your choice other than this [6]
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