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Operation Research 12: Transportation Problem Model Formulation
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Transportation Model Formulation
One of the most important applications of quantitative analysis to solve business problems which has been in the physical distribution of products, commonly referred to as transportation problems.
Basically, the purpose is to minimize the cost of shipping goods from one location to another so that
Needs of each arrival area are met.
Every shipping location operates within its capacity.
To obtain a feasible solution, the total supply must be greater than or equal to the total demand. Thus, a balanced transportation problem always has a feasible solution.
Capacity Constraints because each origin has a limited supply
Requirement constraints because each destination has a demand requirement.
One of the most important applications of quantitative analysis to solve business problems which has been in the physical distribution of products, commonly referred to as transportation problems.
Basically, the purpose is to minimize the cost of shipping goods from one location to another so that
Needs of each arrival area are met.
Every shipping location operates within its capacity.
To obtain a feasible solution, the total supply must be greater than or equal to the total demand. Thus, a balanced transportation problem always has a feasible solution.
Capacity Constraints because each origin has a limited supply
Requirement constraints because each destination has a demand requirement.
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