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Quality & Supply Chain Management

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See the attachment.
Scenario:
Canbide's plastics division operates twelve facilities in the western half of the United States. Plastic resin pellets are produced at three production locations There are two transfer facilities (cross-dock operations). There are four warehouses. All customer orders are shipped from the warehouse locations.
Attached is a file containing tables of production, capacity, monthly demands and shipping costs.

Problem:
Your challenge is find the least cost solution. Your solution need only specify how many truckloads will be shipped on each transportation route that you choose to use and the cost incurred when using that transportation route. The lower the total cost, the better.

Justify whether the use of transfer points is necessary in this case.

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Solution Summary

Excel file contains formulation and optimal solution of a transportation probvlem. Please open the Solver tool box to see the formulation.

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