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Method
From
Dadar 5 4 3
Elphinston 8 4 3
Fort 9 7 5
DEVELOPING AN INITIAL SOLUTION –
THE NORTHWEST CORNER RULE
Once the data have been arranged in tabular form, we must establish
an initial feasible solution to the problem.
One systematic procedure, known as northwest corner rule, requires
that we start in the upper left hand cell(or northwest corner) of the
table and allocate units to shipping routes as follows.
Exhaust the supply (factory supply) at each row before moving down
to the next row.
Exhaust the (warehouse) requirement of each column before moving
to the next column, on the right.
Check that all the supply and demands are met.
Demand Not Equal To Supply
A situation occurring quite frequently in real-word problem is the
case where total demand is not equal to total supply.
these unbalanced problems can be handled easily by introducing a
dummy destination or dummy supply.
In the event that total supply is greater than total demand, a dummy
destination, with demand exactly equal to the surplus, is created.
In total demand is greater than total supply, we introduce a dummy
source(factory) with a supply equal to the excess of demand over
supply.
In either ease, cost coefficients of zero are assigned to each dummy
location.
Drawbacks
TheNorthwest – corner rule is easy to use, but this
approach totally ignores the costs.
Demand not equal to supply.
Called an unbalanced problem.
Resolved by introducing dummy source or dummy
destination where in the aim of transportation
model is minimization of cost so introducing a
dummy source is nit a good solution.
Missing out the best cost effective path.
Intuitive Lowest – Cost Method