1. Copyright 2006 John Wiley & Sons, Inc. Beni Asllani University of Tennessee at Chattanooga Operations Management - 5 th Edition Chapter 10 Supplement Roberta Russell & Bernard W. Taylor, III Transportation and Transshipment Models

2. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-2 Lecture Outline  Transportation Model  Transshipment Model

3. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-3 Transportation Model  A transportation model is formulated for a class of problems with the following characteristics a product is transported from a number of sources to a number of destinations at the minimum possible cost a product is transported from a number of sources to a number of destinations at the minimum possible cost each source is able to supply a fixed number of units of product each source is able to supply a fixed number of units of product each destination has a fixed demand for product each destination has a fixed demand for product  Solution Methods stepping-stone stepping-stone modified distribution modified distribution Excel’s Solver Excel’s Solver

4. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-4 Transportation Method: Example

5. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-5 Transportation Method: Example

6. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-6 Problem Formulation Using Excel Total Cost Formula

7. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-7 Using Solver from Tools Menu

8. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-8 Solution

9. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-9 Modified Problem Solution

10. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-10 Transshipment Model

11. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-11 Transshipment Model: Solution

12. Copyright 2006 John Wiley & Sons, Inc.Supplement 10-12 Copyright 2006 John Wiley & Sons, Inc. All rights reserved. Reproduction or translation of this work beyond that permitted in section 117 of the 1976 United States Copyright Act without express permission of the copyright owner is unlawful. Request for further information should be addressed to the Permission Department, John Wiley & Sons, Inc. The purchaser may make back-up copies for his/her own use only and not for distribution or resale. The Publisher assumes no responsibility for errors, omissions, or damages caused by the use of these programs or from the use of the information herein.