Solving Transportation Problem with Minimum Cost Method and Northwest Corner Method
Minimum Cost and Northwest Corner Methods are effective way to solve transportation problems
but they can't find optimal solution always.
but they can't find optimal solution always.
Minimum Cost Method
- Find the decision variable with smallest shipping cost
- Assign Xij its largest possible value (which is the min of Sij and Dij)
- Cross out the row or column, then continue with the next minimum cost
Northwest Cornet Method
1.Select the upper left (north-west) cell of the transportation tableau, allocate the maximum
amount allowable by the supply and demand to variable X11
2 If a column (or row) is satisfied, cross it out. The remaining decision variables in that column
(or row) are set to zero. If a row and column are satisfied simultaneously, cross only one
out (it does not matter which)
3 Adjust supply and demand for the non-crossed rows and columns. Allocate the maximum feasible
amount to the first available non-crossed out element in the next column (or row).
4.When exactly one row or column is left, all the remaining variables are basic and are assigned the
only feasible allocation.
1.Select the upper left (north-west) cell of the transportation tableau, allocate the maximum
amount allowable by the supply and demand to variable X11
2 If a column (or row) is satisfied, cross it out. The remaining decision variables in that column
(or row) are set to zero. If a row and column are satisfied simultaneously, cross only one
out (it does not matter which)
3 Adjust supply and demand for the non-crossed rows and columns. Allocate the maximum feasible
amount to the first available non-crossed out element in the next column (or row).
4.When exactly one row or column is left, all the remaining variables are basic and are assigned the
only feasible allocation.


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