Transportation problem under shortage of supply and penalty for unmet demand

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Date

2015-04

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Addis Ababa University

Abstract

The objective of this project is to minimize total transportation cost plus penalty cost for shortage of supply. The work focused on formulating transportation problem under shortage of supply and penalty for unmet demand mathematically and converting the problem in to minimum cost ow network . The network simplex method is used to solve the problem. The extended transportation problem which is the transshipment problem also considered in the work. The problem is supported by numerical illustra- tion and Matlab implementation.

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Transportation problem, under shortage of supply

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