COMPARISON OF METHODS OF SOLVING TRANSPORTATION PROBLEMS (TP) AND RESOLVING THE ASSOCIATED VARIATIONS

Abstract

Purpose: Transportation Problem is a Linear Programming application to physical distribution of goods and services from various origins to several destinations at a minimum cost. Methodology: In this study, five different methods were employed to solve transportation problems arising from unequal demand and supply of goods and variations. The methods considered were in terms of North West Corner Rule, Least Cost Method, Vogel's Approximation Method, Row Minima Method and Column Minima Method were compared. Unbalanced transportation problems were resolved using Vogel's Approximation Method (VAM) and Modified Distribution (MODI) methods. Findings: The methods compared produced different results with VAM generating the least transportation cost and better solution. With the MODI method, economic values were generated for the dual variables, uis and vjs associated with the source and demand points respectively.