Week 6 - Distributional model Flashcards
A special type of an LPP in physical distribution of goods and services coming from several supply locations that are to be delivered to demand centers.
Distribution Model
Two main types of distribution problems:
- Transportation problem
- Assignment problem
Involves shipments from several sources to several destinations.
Transportation problem
Objectives of distribution model:
-
Determine the most efficient routes from the supply centers to the
demand centers that would meet the required quantity of goods and services of all destination centers relative to the availability of limited
supply.
2.** Finding the cheapest shipping schedule **that will satisfy the demand
without the violation of the supply constraints.
In (date),( person), presented the simplest form of transportation model in his study
In 1941, Frank Lauren Hitchcock, presented the simplest form of transportation model in his study
Frank Lauren Hitchcock, presented the ?
“The Distribution of a Product from Several Sources to Numerous Localities.”
it was further developed by (person) in his work - – - - - - – in —–
**Tjalling Charles Koopmans **
“Optimum Utilization of the Transportation System” in 1947.
**Who **developed the stepping-stone method?
Abraham Charnes and William Wager Cooper in 1953
Abraham Charnes and William Wager Cooper, developed the
stepping-stone method.
The** modified distribution method** was developed in?
1955
Characteristics and Assumption of Transportation Problem
certain sources have limited available quantity or one commodity.
Supply or Sources
Characteristics and Assumption of Transportation Problem
comes from several destinations, such as warehouses, distribution centers, shops, etc.
Demand
Characteristics and Assumption of Transportation Problem
**available at each source **and the demands or
each destination are constant.
Quantities
Characteristics and Assumption of Transportation Problem
it is based on per unit cost of the commodity from the source to each destination. It is usually based on the distance between the two points.
Shipping cost
. Demand and supply quantities are presented in?
whole numbers
decision must be made if shipping from P1, P2, P3, or a combination should be made to D1
Demand constraints
Transportation problems are presented in ?
Tabular form
Source of supply
Column
demand or destination point
row
value contains the objective function coefficient of the decision variable
Boxed - in
3 methods to obtain the initial solution :
- Northwest Corner Method (NWC)
2. Greedy Method or Minimum Cost Method (MCM)
3. Vogel’s Approximation Method (VAM)
Obtaining the Initial Solution
is the most simple and logical method. The procedure** begins by allocating units to the upper lefthand** corner and ends in the lower right corner of the transportation table.
NWC
Obtaining the Initial Solution
- is a systematized procedure that is easy to use and yields an initial solution that is close to the optimal solution in small problems.
Obtaining the Initial Solution
MCM
In this method, the allocation is made to the cell with** the most possible lowest cost or the highest profit **in a maximization case.
MCM
Obtaining the Initial Solution
is an algorithm that obtains the initial feasible solution by **determining the “penalty cost” **of not using the lowest cost route.
This method results in an optimal or near optimal as an initial solution.
VAM