CHAPTER 3:Transportation & Assignment model

 Transportation model: is a special class of linear programing that deal with the shipping a commodity from source to
destinations. The objective is to determine the shipping schedule that minimizes the total shipping cost with satisfying supply and
demand limits

 Sources Destinations
C11, X11
◦ a1 b1

◦ a2 b2

◦ am Cmn, Xmn bn

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Transportation model
 The general problem is represented by the network
shown in the above
◦ m sources and n destinations
◦ The transportation cost between sources i and
destination j is Cij.
◦ The objective of the model is to determine the
unknowns Xij that will minimize the total
transportation cost while satisfying
 the amount of supply at the source i is ai and
 The amount of the demand at the destination j is bj.

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Transportation model
◦ Let Xij represents the amount transported from sources i to destination j

Minimize Z= Cij Xij ;

Xij ≤ aij; j=1, 2,…m;

Xij ≥ bij; i=1, 2,…n;

Sum of the shipments from a source can not exceed is supply

Sum of the shipments to a destination must satisfy the demand

m n
∑ ∑
i=1 j=1

m
∑
i=1

n
∑
j=1

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Transportation model
 when the total supply equals the total demand, then it is
Balanced transportation model; the algorithm will be
done as follows
m
∑ Xij = aij; j=1, 2,…
m; i=1
n
∑
j=1 Xij = bij; i=1, 2,…
n;
 Ifthe model is unbalanced, a dummy source or a
dummy destination is used to restore balance

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 Balanced
Destination
Unbalanced
Source 1 2
Suppl Destination
1 10 2
y Source 1 2 Suppl
x11 x12
12 7
1000 1 10 2 y
2 x11 x12
x21 x22 1000
1500 2 12 7
3 4 14
x21 x22
x31 x32 1500
Demand 2300 1400 1200 3 4 14
x31 x32
Dummy 1200
Destination
xd1 xd2
Source 1
10
2
2
Dummy
20
Suppl 200
Demand 2500 1400
1 x11 x12 x1d y
2 12 7 9 1000
x21 x22 x2d
3
4 14 16 1500
x31 x32 x3d
Demand 1900 1400 400
1200
Transportation Problem
EELPA has three electric power plants that supply the needs of four cities.
Each power plant can supply the following numbers of kilowatt hours
(kwh) of electricity: plant 1— 35 million; plant 2—50 million; plant 3—40
million (see the Table below). The peak power demands in these cities,
which occur at the same time (2 P.M.), are as follows (in kwh): city 1—45
million; city 2—20 million; city 3—30 million; city 4—30 million. The
costs of sending 1 million kwh of electricity from plant to city depend on
the distance the electricity must travel. Formulate an LP to minimize the
cost of meeting each city’s peak power demand.

EELPA
 Transportation Problem
•EELPA must determine how much power is sent from each plant to
each city. It can be defined as

1. Objective Function
Minimize the total cost of supplying the peak power demands

2. Constraints

1. The total power supplied by each plant cannot exceed the plant’s
capacity
2. Each city will receive sufficient power to meet its peak demand
Transportation Problem
Supply
Constraints

Demand
Constrains
General Description Transportation Problem
 The transportation algorithm

Steps of transformation algorithm

1Determine a starting basic feasible solution and go to step 2

2Use the optimality condition of the simplex method to determine the

entering variable from among all the non basic variables, if the
optimality condition is satisfied, the process ends

3Use the feasibility condition of the simplex method to determine the

leaving variable from among all the current basic variables, and find
the new basic solution

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Determination of the starting basic solution
A general transportation model has m sources and n
destinations, and has m+n constraint equations
 Since the model is always balanced, one of the
constrains is redundant, then the model has m+n-1
independent constraints equations and the starting basic
solution consists of m+n-1 basic variables
 Starting basic solution
◦ Northwest-corner method
◦ Least-cost method
◦ Vogal approximation method

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North-west Corner Method: starts at the north west
corner point cell (X11)
Step1: allocate as much as possible to the selected cell, and
adjust the associated amounts of supply and demand by
subtracting the allocated amount

Step 2: cross out the row or column with zero supply and
demand to indicate that o further assignment can be made in
that row and column. If both a row and a column net to be zero
simultaneously, cross out one only, and leave a zero
supply(demand) in the uncrossed out row(column).

Step 3: if exact one row or column is left uncrossed out, stop,

otherwise, move to the cell to the right if a column has just
crossed out or below if the row has been crossed out

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 North west corner method

Destination
Source 1 2 3 4 Supply
1 10 2 20 11 15
2 12 7 9 20 25
3 4 14 16 18 10
Demand 5 15 15 15
Destination

Source 1 2 3 4 Supply
1 5 10 x x 15 10 --
2 x 5 15 5 25 20 5
3 x x x 10 10
Demand 5 15 15 15
-- 5 --
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 Least Cost Method

 Starts by assigning as much as possible to the cell

with the smallest unit cost

Destination
Source 1 2 3 4 Supply
1 10 2 20 11
15 0 --
x 15 x 0
2 12 7 9 20
3 x x 15 10 25 10 --
4 14 16 18
5 x x 5 10 --
Demand 5 15 15 15
-- -- -- 10
--
Vogal approximation method (VAM)
Step 1: For each row (column), determine a penalty measure by subtracting
the smallest unit cost element in the row (column) from next
smallest unit cost element in the same row(column)
Step 2: identify the row or column with the largest penalty. Assign
(allocate) as much as possible to the variable with the least unit cost in
the selected row, or column.
Step 3:
a. if exactly one row or column with zero supply or demand uncrossed
out stop
b. if one row(column) with positive supply (demand) remain uncrossed
out, determine the basic variables I the row (column) by the least cost
method
c. if all the uncrossed out rows and columns have (remain) zero supply and
demand, determine the zero basic variable by the least cost method
stop
d other wise go to step one
 Vogal approximation method
Destination
Sourc 1 2 3 Supply Supply
4
e 10 2 20 11
15 0 --
x 15 x 0 10-2=8 9 9
1
12 7 9 20
2 x x 15 10 9-7=2 2 11
3 4 14 16 18 25 10 --
5 x x 5 14-4=10 2 2
Demand 5 15 15 15 10 --
-- -- -- 10

Difference: 10-4=6 7-2=5 16-9=7 18-11=7

x 5 7 7
x x 7 7
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Iterative computation of the transportation
algorithm
Step 1: Use the simplex optimality condition to determine the entering
variable. If the optimality condition satisfied stop
Step 2: determine the leaving variable using the simplex feasibility
condition
The starting solution based on the North West corner is shown below

Destination

Source 1 2 3 4
10 2 20 11
1
5 10
12 7 9 20
2 5 15 5
4 14 16 18
3 10

17
17
Cont…
 To determine the entering variable among the the current non
basic variable is done by using Method of Multiplier
 For each basic variable, the multiplier (Ui, Vj) satisfy the
following equation
Ui + Vj = Cij
Basic (Ui,Vj) equation Solution
Variables
X11 U1+V1=10 U1=0 V1=10
X12 U1+V2=2 U1=0 V2=2
X22 U2+V2=7 U2=5 V2=2
X23 U2+V3=9 U2=5 V3=4
X24 U2+V4=20 U2=5 V4=15
X34 U3+V4=18 U3=3 V4=15
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 Cont…

 Use and evaluate the following equation for each non basic
variable
Ui+Vj-Cij

Non Basic (Ui,Vj) equation Solution

Variables
X13 U1+V3 - 20 0+4-20 -16
X14 U1+V4 - 11 0+15-11 4
X21 U2+V1 - 12 5+10-12 3 Most positive is
X31 U3+V1 - 4 3+10-4 9 selected as
entering variable
X32 U3+V2 - 14 3+2-14 -9
X33 U3+V3 -16 3+4-16 -9
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Cont…

 Draw close loop that starts and ends at the entering

variable
X11=5-θ≥0
X22=5-θ≥0 then θ=5; X11 will be leaving one
X34=10-θ≥0

Destination

Source 1 2 3 4
10 2 20 11
1
5-θ 10+θ
12 7 9 20
2 5-θ 15 5+θ
4 14 16 18
3 θ 10-θ

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Continue the process
Entering variable is
Destination X14
Source 1 2 3 4

1 10 2 20 11
10-θ≥0 then
15-θ θ
12 7 9 20 15-θ≥0 θ=10;
2 0+θ 15 10-θ
4 14 16 18
3 5 5

Destination
All are negative
Source 1 2 3 4
optimality satisfied;
10 2 20 11
1
5 10 Optimum cost
2
12 7 9 20 =5x2 +10x11 + 10x7
10 15 +15x9 + 5x4 + 5x18
4 14 16 18
3 5 5 = 430

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Assignment Problems
• There is a special case of transportation problems where each supply
point should be assigned to a demand point and each demand should
be met
•It is characterized by knowledge of the cost of assigning each supply point
to each demand point: cij
defined :
1 if supply point i is assigned to meet the demands of demand point j
xij =
0 if supply point i is not assigned to meet the demands of point j
•General representation of the Assignment Problem is:
Example
MIE has four machines and four jobs to be completed. Each
machine must be assigned to complete one job. The time
required to set up each machine for completing each job is
shown in the Table below. MIE wants to minimize the total
setup time needed to complete the four jobs. Use linear
programming to solve this problem.
Formulation of the MIE Problem
MIE must determine which machine should be assigned to
each job
Let:

The problem may be formulated as:

 Solution Approaches to Assignment Problems – The
Hungarian Method
a

Step 1b Assign the zeros; if each row and column have one zero, the assignment is
optimal; if not proceed to the next step.

1b
Solution Approaches to Assignment Problems – The
Hungarian Method

How do you draw the minimum number of lines?

Step 2a Draw a tick mark on the unassigned row

Step 2b Enter into the tick mark row and put a tick mark on
the column where the zero is crossed
Step 2c Enter into the tick column and put a tick mark in the
rows where the assigned rows are there and check that
there should be no crossed zero in that row; otherwise
the step will be repeated
Step 2d Draw a line through the un-ticked rows and the ticked
columns
 Solution to the MIE problem -
By the Hungarian Method
Step 1
 Solution to the MIE problem -
By the Hungarian Method
Step 2

If the number of lines needed to cover the zeros are m lines then the
optimal solution is available (on m x m matrix job assignment)
10 0✔ 3 0
0 9 3 0✔
Step 3 5 5 0✔ 4
0✔ 1 3 5

The most economical assigning jobs: X12, X24, X33, and X41.
The economic value: C12 + C24, +C33 +C41= 5+5+3+2=15
Exercise

Six machines M1 through M6 are to be located on six places

P1 through P6. The costs of locating the machines to the
different places are given in the following matrix. Find the
optimal layout of the assignment

P1 P2 P3 P4 P5 P6
M1 20 23 18 10 16 20
M2 50 20 17 16 15 11
M3 60 30 40 55 8 7
M4 6 7 10 20 25 9
M5 18 19 28 17 60 70
M6 9 10 20 30 40 55