# Transshippment problem: LINDO 10

Lij Systems is an electronics company with production facilities located in Atlanta, Boston, and Chicago. Components produced at these facilities may be shipped to the firm's regional warehouses that are located in Edison and Fargo. From the warehouses the firm supplies retail outlets located in Houston, Indianapolis, and Jacksonville.

The firm has to determine an optimal transshipment plan that minimizes total transportation cost while meeting the demands in each retail outlet and not exceeding the capacity at each production facility.

Formulate the transshipment problem as a Linear-programming model and determine the optimal transshipment plan.

The Data - Production Capacity

The capacity of each production facility is presented below:

Atlanta Boston Chicago

800 500 700

The Data - The Retail Outlet Demand

The firm must meet the demands specified below for each retail outlet:

Houston Indianapolis Jacksonville

900 600 500

The Data - Facility Transportation Cost

The transportation cost per unit from each facility to each warehouse is specified below:

Atlanta Boston Chicago

Edison 6 1 3

Fargo 4 8 1

The Data - Warehouse Transportation Cost

The transportation cost per unit from each warehouse to each retail outlet is specified below:

Houston Indianapolis Jacksonville

Edison 8 3 4

Fargo 2 3 8

I need assistance including screen shots of LINDO10 input and output in the result section of your paper.

1. For this problems I need 12 decision variables.

2. Define the Objective function based on the given transportation cost per unit.

3. Define 8 constraints for

Production capacity at Atlanta

Production capacity at Boston

Production capacity at Chicago

Demand at Houston

Demand at Indianapolis

Demand at Jacksonville

Conservation of flow through Edison (Shipment In = Shipment Out)

Conservation of flow through Fargo (Shipment In = Shipment Out)

https://brainmass.com/statistics/correlation-and-regression-analysis/transshippment-problem-lindo-10-184136

#### Solution Summary

This posting contains solution to following transshipment problem using LINDO 10.