MS-492 Operation ManagementSupply Chain ModelsTransportation, Assignment, and Transshipment ProblemsByDr. Yousaf Ali khanDepartment of Management SciencesGIKI, Pakistan
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Transportation, Assignment, and Transshipment Problems•Each of the three models (transportation, assignment,and transshipment models) can be formulated aslinear programs and solved by general purpose linearprogramming Algorithms (simplex method).•For each of the three models, if the right-hand side ofthe linear programming formulations are all integers,the optimal solution will be in terms of integer valuesfor the decision variables.
The Transportation Model •Averycommonsupplychaininvolvestheshipment of goods from suppliers at one set oflocations to customers at another set of locations.•The classic transportation model is characterizedby a set of supply sources (each with knowncapacities), a set of demand locations (each withknownrequirements)andtheunitcostsoftransportation between supply-demand pairs.