Problem related to transportation analysis


Sweetland Sugar  &Co. produces cane sugar in its four plants in Charlotte, Kansas City, Indianapolis and Flagstaff. These plants serve five major markets, New York, Chicago, St. Louis, Las Vegas and Seattle. The capacities of each plant, demands of each market and the transportation costs of sending a ton sugar from a plant to a market are given in the table below. The company seeks to develop a plan to minimize the transportation costs. Your task is to find the total transportation cost and the amounts of sugar sent from each plant to distribution centers and from each distribution center to markets using Excel Solver.

From

Plants

To Markets

Supply

(Tons)

New York

Chicago

St. Louis

Las Vegas

Seattle

Charlotte

$16

$13

$12

$22

$25

16

Kansas City

$20

$11

$6

$15

$18

17

Indianapolis

$10

$8

$8

$17

$19

13

Flagstaff

$25

$18

$15

$8

$15

19

Demand

(tons)

15,000

12,000

9,000

14,000

13,000

 

 

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Operation Management: Problem related to transportation analysis
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