Alexandria University Level One
Faculty of Engineering First Semester
Production Engineering Department Operations Research 2023
5 – The Transportation Problem
1. Find a starting feasible solution for the following transportation matrix using Least Cost method
(LCM), Vogel’s approximation method (VAM), and Northwest Corner method (NWC) method. For
the starting solution obtained by NWC, find the optimum shipping quantities from each supply point
to each demand point and the associated total transportation cost using the stepping- stone method.
P.S. For all the coming problems, supply and demand quantities are in “units” and the numbers in
the matrix cells represent the unit transportation cost in dollars ($).
I II III IV Supply
A 10 0 20 11 15
B 12 7 9 20 25
C 0 14 16 18 5
Demand 5 15 15 10
2. The MG Auto Company has plants in Los Angeles, Detroit, and New Orleans. Its major
distribution centers are located in Denver and Miami. The capacities of the three plants
during the next quarter are 1000, 1300, and 1200 cars respectively. The quarterly demands
at the two distribution centers are 2300 and 1400 cars. The train transportation cost per car
per mile is approximately 8 cents. The mileage chart between the plants and distribution
centers is as follows:
Denver Miami
Los Angeles 1000 2690
Detroit 1250 1350
New Orleans 1275 850
The mileage chart can be translated to cost per car at the rate of 8 cents per mile. The
following costs (rounded to the closest dollar), which represent cij in the general model:
Denver Miami
Los Angeles 80 215
Detroit 100 108
New Orleans 102 68
a. Construct the initial transportation tableau (you don’t have to find a starting
solution though, just the basic transportation matrix).
b. If the capacities of the three plants during the next quarter keeps unchanged and
the quarterly demand at the Miami also keeps unchanged while can demand at
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Denver drops to 1900 cars, what is the impact of those changes on the initial
transportation tableau?
Practice Problems
3. Find the optimum shipping quantities for the following simple transportation network. Supply and
demand quantities are shown next to each source/sink, and unit transportation costs are given in the
following table. Use Northwest Corner method (NWC) method initially and proceed till reaching
the optimum shipping quantities.
[45]
[35]
[20]
A B C D
1 $8 $6 $ 10 $9
[50] 2 $9 $ 12 $ 13 $7
3 $ 14 $9 $ 16 $5
[30]
[40]
[30]
4. (BONUS) For the simple transportation network in the previous problem, use Vogel’s
approximation method (VAM) to find a starting feasible solution. Comparing the obtained
starting feasible solution by (VAM) to the optimum solution that was obtained starting by
(NWC), do we need to improve (VAM) starting solution? Comment on the result of the
comparison.
5. Find a starting feasible solution for the following transportation network using the Least
Cost Method (LCM). [Hint: Notice that the channel 1 – B is blocked]
[50]
(10)
[35]
(18)
[15]
(20)
(15)
[60]
(12)
[30]
6. Find a starting feasible solution for the following transportation model using NWC method.
For the obtained starting solution, find the optimum shipping quantities from each supply
point to each demand point and the associated total transportation cost using the method of
stepping-stone.
A B C Supply
1 9 7 6 300
2 9 4 6 200
3 5 11 8 100
Demand 200 200 200
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Final Answers
1. LCM: Z = $335
VAM: Z= $315
NWC: Z= $410
2. (i) LCM: Z = $291,600
(ii) VAM: Z= $ 273,200
3. Z = $1,020
4. Z = $1,020
5. Z = $1,235
6. Z = $3,400
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