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MODULE 04.
TRANSPORTATION (I)

Course : Agribusiness Operations Research

Course Code : PP2302

Lecturers of Agribusiness Study Program

Satya Terra Bhinneka University Indah Adelina Siregar, S.P., [Link].
Course : Agribusiness Operations Research
Course Code : PP2302

Overview

In this chapter, students will learn about

definition of transportation models, benefits
and purposes of transportation, and
implementation of transportation models.

[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

Objectives

After studying this chapter, it is hoped that students will:

a. be able to understand and explain the definition of transportation
models,
b. be able to describe the benefits and purposes of transportation,
and
c. be able to understand and explain the implementation of
transportation models.

[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

CONTENT:

1 Definition of Transportation Models

2 Benefits and Purposes of Transportation

3 Implementation of Transportation Models

[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

I. Definition of Transportation Models

The transportation model is a model used in the distribution of

goods from sources that provide the same goods to places that
need them optimally.

One application of the linear programming concept is the transportation

problem.

A transportation problem aims to manage the allocation of various single,

homogeneous commodities initially stored in various supply areas and
then distributed to various destination areas, in such a way that the total
transportation cost is minimized (Prakash, 2001).
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

I. Definition of Transportation Models

The transportation model is useful for facilitating the distribution

of goods, maximizing allocation from source to destination and is
useful in efforts to reduce total transportation costs.

One method used to solve optimization problems and obtain

optimal solutions while taking into account the relevant
constraints is linear programming.

A linear programming problem consists of an objective function to

be minimized or maximized under a number of constraints.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

II. Benefits and Purposes of Transportation

Some of the benefits of transportation include:

1. It is a tool for optimal decision-making using various

available resources to achieve a predetermined goal.

2. Transportation seeks to determine the best

(optimal) course of action for a decision problem,
given limited resources and a specific goal.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

II. Benefits and Purposes of Transportation

The purpose of the transportation model is to apply a scientific approach in

solving problems or issues and solving or analyzing problems in decision making or
decision making such as design and control of factory operations, determining sales
areas and allocating distribution centers.

[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

Contoh Penerapan Model Transportasi: Perusahaan Roti

In bakery distribution, a transportation model is essential because the company

sometimes encounters obstacles and difficulties in delivering goods to
consumers in large quantities.

Therefore, the solution to this problem is to implement a transportation model

to increase company profits. Therefore, a transportation model is very useful for
companies in distributing goods more effectively.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

Contoh Penerapan Model Transportasi: Perusahaan Roti

It can be concluded that:

A bakery company must distribute its products to many consumers. The

transportation model helps:
- Determine the best route,
- Reduce shipping costs,
- Increase company profits.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

In general, transportation problems are defined as follows:

This model contains:

- Source (supply)
- Destination (demand)
- Shipping costs
- Quantity of goods shipped

Mathematical models are used to translate real-world problems into

mathematical equations so they can be optimized.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

1. Notasi Model Transportasi

For example: Decision Variable

𝑖=1,2,3,...,𝑚→ source (supply) 𝑥_𝑖𝑗= quantity of goods shipped
𝑗=1,2,3,...,𝑛→ destination (demand) from source i to destination j

Parameters Meaning:
𝑎𝑖= quantity supplied at source i the main decision is to determine
𝑏𝑗= quantity demanded at destination j the value of 𝑥_𝑖𝑗.
𝑐𝑖𝑗= transportation cost per unit from source
i to destination j [Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

2. Objective Function

The main objective of the transportation model is: Minimizing total

transportation costs

Meaning:
Total cost = (cost per unit × number of items shipped).
This objective function is used to find the minimum distribution cost.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

3. CONSTRAINTS

A. Supply Constraints
The quantity of goods coming out of each source must be equal to the supply
capacity:
𝑛

෍ 𝑥𝑖𝑗 = 𝑎𝑖 𝑖 = 1 2. . . 𝑚
𝑗=1
Meaning:
The total shipment from source i must not exceed its offer. [Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

3. CONSTRAINTS (Continued)
B. Demand Constraints

The number of goods received must meet the following requirements:

𝑚

෍ 𝑥𝑖𝑗 = 𝑏𝑗 𝑗 = 1 2. . . 𝑛
𝑖=1
Meaning:
Every destination must receive what it asks for.
[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

3. CONSTRAINTS (Continued)
C. Non-Negativity Constraint
xij ≥ 0
Because the quantity of goods cannot be negative.

4. Balanced Transportation
A model is said to be balanced if: This means:
Total supply = total demand.
෍ 𝑎𝑖 = ෍ 𝑏𝑗 If this condition is met, the model can be
solved immediately. [Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

Complete Model Form: With Constraints:

[Link]
Course : Agribusiness Operations Research
Course Code : PP2302

III. Implementation of Transportation Models

5. Unbalanced Transportation

A problem is said to be unbalanced if:

෍ 𝑎𝑖 ≠ ෍ 𝑏𝑗

There are two possibilities:

b. Demand > Supply
a. Supply > Demand
Add a dummy source.
Add a dummy destination.
The dummy transport cost = 0.
The goal is for total supply to equal
[Link]

total demand.
Course : Agribusiness Operations Research
Course Code : PP2302

Bentuk Tabel Transportasi

Sumber Tujuan 1 `Tujuan 2 … Supply

S1 c11 c12 … a1
S2 C21 C22 … a2
… … … … …
Demand b1 b2 …

This table is the basis for solving the method:

- North West Corner
- Least Cost
- Vogel Approximation Method (VAM)
- MODI / Stepping Stone
[Link]
QUESTION
&
ANSWER