Introduction To LP - Transshipment Problem
Introduction To LP - Transshipment Problem
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Introduction
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Transshipment Problem
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Transshipment Problem
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Transshipment Problem
Network Representation
3 c36
c13 c37
s1 1 c14 6 d1
c15 c46
4 c47
c23 c24
c56 7 d2
s2 2
c25
5 c57
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Transshipment Problem
Linear Programming Formulation
xij represents the shipment from node i to node j
Min cijxij
ij
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Useful Excel/Solver Functions: Sumproduct
SUMPRODUCT
Multiplies corresponding components in the given arrays,
and returns the sum of those products.
Syntax: SUMPRODUCT(array1,array2,array3, ...)
• Array1, array2, array3, ... are 2 to 30 arrays whose
components you want to multiply and then add.
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Useful Excel/Solver Functions: VLOOKUP
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Useful Excel/Solver Functions: VLOOKUP
Syntax:
VLOOKUP(lookup_value,table_array,col_index_num,
range_lookup)
• Lookup_value is the value to be found in the first
column of the array.
• Table_array is the table of information in which data
is looked up.
If range_lookup is TRUE, the values in the first
column of table_array must be placed in
ascending order.
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Useful Excel/Solver Functions: VLOOKUP
Syntax:
VLOOKUP(lookup_value,table_array,col_index_num,
range_lookup)
• Col_index_num is the column number in table_array from
which the matching value must be returned. A col_index_num
of 1 returns the value in the first column in table_array; a
col_index_num of 2 returns the value in the second column in
table_array, and so on.
• Range_lookup is a logical value that specifies whether you
want VLOOKUP to find an exact match or an approximate
match. If TRUE or omitted, an approximate match is returned.
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Useful Excel/Solver Functions: Sumif
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Example 1: Thomas & Washburn
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Example 1: Thomas & Washburn
Because of long standing contracts based on past orders, unit costs
from the manufacturers to the suppliers are:
Thomas Washburn
Arnold 5 8
Supershelf 7 4
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Example 1: Thomas & Washburn
Network Representation 5
ZROX
Zrox +50
1 3
5 1
ARNOLD
-75 Arnold Thomas 5
8 8 6
Hewes +60
HEWES
2 4
3 4
7
Super Wash-
-75 WASH 7
Shelf 4 Burn 4
BURN
Rock-
Supply nodes Transshipment nodes Wright +40
Demand nodes
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Example 1: Thomas & Washburn
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Example 1: Thomas & Washburn
Constraints Defined
Amount Out of Arnold: x13 + x14 < 75
Amount Out of Supershelf:x23 + x24 < 75
Amount Through Thomas: x13 + x23 - x35 - x36 - x37 = 0
Amount Through Washburn: x14 + x24 - x45 - x46 - x47 = 0
Amount Into Zrox: x35 + x45 > 50
Amount Into Hewes: x36 + x46 > 60
Amount Into Rockwright: x37 + x47 > 40
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Example 1: Thomas & Washburn problem via LP
The solver formulation is:
The Transshipment Problem
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Example 1: Thomas & Washburn problem via LP
The solver solution is:
The Transshipment Problem
Supply (-) or
Nodes Net Flow Demand (+)
1 Arnold -75 -75
2 SuperShelf -75 -75
3 Thomas 0 0
4 Washburn 0 0
5 Zrox 50 50
6 Hewes 60 60
7 Rock-Wright 40 40
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Example 2: The Bavarian Motors Company
(BMC)
BMC manufactures (very) expensive sports luxury cars in Germany
and ships them for sale in the US to Newark and Jacksonville.
From these entry ports the cars can be transported to distributors
located in Boston, Columbus, Atlanta, Richmond and Mobile.
There are 200 cars available for shipment in Newark and 300 in
Jacksonville. The distributors ordered the following quantities of
cars:
• Boston: 100
• Columbus: 60
• Atlanta: 170
• Richmond: 80
• Mobile: 70.
The shipping costs per unit for are shown in the next slide. You are
retained (for a large consulting fee) to determine shipping
quantities to minimize the total shipping cost.
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Example 2: The Bavarian Motors Company
(BMC)
From To Unit Cost
1 Newark 2 Boston $30
1 Newark 4 Richmond $40
2 Boston 3 Columbus $50
3 Columbus 5 Atlanta $35
5 Atlanta 3 Columbus $40
5 Atlanta 4 Richmond $30
5 Atlanta 6 Mobile $35
6 Mobile 5 Atlanta $25
7 Jacksonville 4 Richmond $50
7 Jacksonville 5 Atlanta $45
7 Jacksonville 6 Mobile $50
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Example 2: The Bavarian Motors Company
(BMC)
Network Representation
$45
$40 ZROX
Richmond
(4)
80
100
Atlanta
$35 HEWES
(5) 170
$50
$25
Jacksonville Columbus
-300 (7)
WASH
(3)
$40 $35
BURN
Mobile
60 $50 70
Supply nodes (6)
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Example 2: The Bavarian Motors Company
(BMC)
Linear Programming Formulation:
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Example 2: The Bavarian Motors Company
(BMC)
Constraints Defined
Flow constraint for node 1: -x12 - x14 > -200
Flow constraint for node 2: x12 - x23 > 100
Flow constraint for node 3: x23 + x53 - x35 > 60
Flow constraint for node 4: x14 + x54 + x74 > 80
Flow constraint for node 5:
x35 + x65 + x75 - x53 - x54 - x56 > 170
Flow constraint for node 6: x56 + x76 - x65 > 70
Flow constraint for node 7: -x74 - x75 - x76 > -300
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Example 2: The Bavarian Motors Company
(BMC)
The solver formulation is:
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Example 2: The Bavarian Motors Company
(BMC)
The solver solution is:
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The End of Chapter 2D
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