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Simplex (Solver) Examples (1)

The document outlines a transportation and production cost analysis involving multiple supply regions and demand markets, detailing costs per 1,000,000 units. It includes decision variables, constraints related to capacities, and an objective function aimed at minimizing costs. The data indicates unmet demands across various regions, highlighting the need for optimization in supply chain management.

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Amanat Brar
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© © All Rights Reserved
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Download as XLSX, PDF, TXT or read online on Scribd
4 views

Simplex (Solver) Examples (1)

The document outlines a transportation and production cost analysis involving multiple supply regions and demand markets, detailing costs per 1,000,000 units. It includes decision variables, constraints related to capacities, and an objective function aimed at minimizing costs. The data indicates unmet demands across various regions, highlighting the need for optimization in supply chain management.

Uploaded by

Amanat Brar
Copyright
© © All Rights Reserved
Available Formats
Download as XLSX, PDF, TXT or read online on Scribd
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Inputs - Costs, Capacities, Demands

Production and Transportation Cost per


1,000,000 Units
Supply Region N. America S. America Europe Asia Africa
N. America 81 92 101 130 115
S. America 117 77 108 98 100
Europe 102 105 95 119 111
Asia 115 125 90 59 74
Africa 142 100 103 105 71
Demand 12 8 14 16 7

Decision Variable

Supply Region N. America S. America Europe Asia Africa


N. America 0 0 0 0 0
S. America 0 0 0 0 0
Europe 0 0 0 0 0
Asia 0 0 0 0 0
Africa 0 0 0 0 0

Constraints

Supply Region Capacity


N. America
S. America
Europe
Asia
Africa

Demand N. America S. America Europe Asia Africa


Unmet

Objective Function
Cost =
Fixed Low Fixed High
Cost ($) Capacity Cost ($) Capacity
6,000 10 9,000 20
4,500 10 6,750 20
6,500 10 9,750 20
4,100 10 6,150 20
4,000 10 6,000 20

Low High
Capacity Capacity
0 0
0 0
0 0
0 0
0 0
Assignment problem
Cost per 1,000,000 units of products from factories to market.
Demand region (production and transportation cost per 1,000,000 units
Fixed
Supply region Market 1 Market 2 Market 3 Market 4 Market 5 Cost
Factory 1 75 92 110 129 119 5000
Factory 2 119 73 107 101 107 4700
Factory 3 103 107 85 121 115 6300
Factory 4 117 128 93 61 74 4200
Factory 5 145 102 105 109 69 4600
Demand 11 9 16 17 9

Decision variables Low


Supply region Market 1 Market 2 Market 3 Market 4 Market 5 Capacit
Factory 1 0 0 0 0 0 0
Factory 2 0 0 0 0 0 0
Factory 3 0 0 0 0 0 0
Factory 4 0 0 0 0 0 0
Factory 5 0 0 0 0 0 0

Constraints
Supply region Capacity
Factory 1
Factory 2
Factory 3
Factory 4
Factory 5

Demand Market 1 Market 2 Market 3 Market 4 Market 5


Unmet

Objective Function

Cost =
to market.
t per 1,000,000 units)
Low Fixed High
Capacity Cost Capacity
10 7500 20
10 7050 20
10 9450 20
10 6300 20
10 6900 20

High
Capacity
0
0
0
0
0

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