A company has three plants producing a certain product that is to be shipped to four distribution centers. Plants 1, 2, and 3 produce 12, 17, and 11 shipments per month, respectively. Each distribution center needs to receive 10 shipments per month. The distance from each plant to the respective distributing centers is given below in milers: þistribution Center 2 3 1 800 1,300 400 700 Plant 2 1,100 1,400 600 1,000 3 600 1,200 800 900

Purchasing and Supply Chain Management
6th Edition
ISBN:9781285869681
Author:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
Publisher:Robert M. Monczka, Robert B. Handfield, Larry C. Giunipero, James L. Patterson
ChapterC: Cases
Section: Chapter Questions
Problem 3.8A
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The freight cost for each shipment is $100 plus 50 cents per mile. How much should be shipped from each plant to each of the distribution centers to minimize the total shipping costs? Find optimum answer using:

- Northwest Corner Cell Method and U-V method 

- Least Cost Cell method and U-V Method

A company has three plants producing a certain product that is to be shipped to four
distribution centers. Plants 1, 2, and 3 produce 12, 17, and 11 shipments per month,
respectively. Each distribution center needs to receive 10 shipments per month. The
distance from each plant to the respective distributing centers is given below in milers:
þistribution Center
1
3
4
1
800
1,300
400
700
Plant
2.
1,100
1,400
600
1,000
3
600
1,200
800
900
Transcribed Image Text:A company has three plants producing a certain product that is to be shipped to four distribution centers. Plants 1, 2, and 3 produce 12, 17, and 11 shipments per month, respectively. Each distribution center needs to receive 10 shipments per month. The distance from each plant to the respective distributing centers is given below in milers: þistribution Center 1 3 4 1 800 1,300 400 700 Plant 2. 1,100 1,400 600 1,000 3 600 1,200 800 900
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