Assignment Problem
Gedu College of Business Studies
Gedu, Chhukha.
Group Assignment Submitted by:
Leki Chozom (03220131)
Madan Sunwar (03220135)
Munna Darjee (03220137)
Neha Sunwar (03220142)
Kinzang Lhendup (03210158)
BCom Finance, Fifth semester, section B
5/11/2024
DECLARATION
Module Code: BMS303 Type of Course Work: Group Task
Module Title: Mathematics for Managerial Module Tutor: Mr. Kalpak Chaudhuri
Decisions
Date of Submission: 05 November 2024
We hereby declare that this academic work is our own and those referred ideas from
other sources have been appropriately acknowledged. The material in this submission has
not been previously submitted for assessments. We understand that if found otherwise,
our academic work will be cancelled and no marks will be awarded besides legal
consequences.
Leki Chozom (03220131)
Madan Sunwar (03220135)
Munna Darjee (03220137)
Neha Sunwar (03220142)
Kinzang Lhendup (03210158)
FOR MODULE TUTOR
Sl. Marking Criteria Marks Marks
No Assigned obtained
1 Writing Problem statement 2% marks
2 Formulation of the problem 1% marks
3 Finding the solution 5% marks
4 Result and Interpretation 2% marks
Total marks
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Signature of Module Tutor
Contents
Problem Statement ................................................................................................................................. 2
Solution:Hungarian Method ................................................................................................................... 3
Solution using excel solver ...................................................................................................................... 5
Results and Interpretation to Assignment Problem of Happy Chips Business: ...................................... 7
References .............................................................................................................................................. 8
1
Problem Statement
Happy Chips Business is seeking to recruit four employees namely- Pema, Sonam, Phub
and Rinchen- each skilled in Manager, Marketing, Finance and Accounting roles. The time
required for each employee to complete each job varies based on their abilities and
experiences as shown in the following provided table.
Despite smooth operations, the business has struggled to meet deadlines and aims to
assign tasks to minimize overall work hours while maintaining quality.
According to the Regulation on working conditions, 2022 chapter 9 - Hours of work,
Section 161. The standard working hours must not exceed 8 hours per day and 48
hours per week except where workers have agreed to perform overtime work.
Table 1: Time Matrix
Employees Time (in hours)
Manager Marketing Finance Accountant
Pema 7 5 5 8
Sonam 6 4 5 7
Phub 5 8 4 5
Rinchen 7 3 6 8
2
Solution: Hungarian Method
We have used Hungarian method of assignment to determine the job assignment to each
employee of the business so as to minimize the total time taken to perform the job.
Table 2: Row Reduction Matrix
7 5 5 8
6 4 5 7
5 8 4 5
7 3 6 8
Note: Row value – Lowest Row value
2 0 0 3
2 0 1 3
1 4 0 1
4 0 3 5
Table 3: Column Reduction Matrix
2 0 0 3
2 0 1 3
1 4 0 1
4 0 3 5
Note: Column value – Lowest column value
1 0 0 2
1 0 1 2
0 4 0 0
3 0 3 4
3
Table 4: Least Cost table
1 0 0 2
1 0 1 2
0 4 0 0
3 0 3 4
0 0 0 1
0 0 1 1
0 5 1 0
2 0 3 3
Note: Select the lowest unmarked value from Table 4. Subtract the untouched values with
the lowest unmarked value and add the value that lies in intersection with the lowest
unmarked value.
Table 5: Optimal Assignment Table
0 0 0 1
0 0 1 1
0 5 1 0
2 0 3 3
Note: Since the number of boxes is equal to number of rows and columns, the optimality is
obtained.
Table 6: Assignment task Table
Employee Job Time (hours)
Pema Finance 5
Sonam Manager 6
Phub Accountant 5
Rinchen Marketing 3
Total 19
4
Solution using excel solver
Step 1: Time Matrix
In the first step, we framed the Time Matrix by using the information from the problem
statement. Then we used SUM function to get the total time required in each job as column
sum and time required by each employee in various job as row sum.
Step 2: Assigning Binary Code (0,1)
To identify and assign a job for the employee we equate value 1 to the column sum as
demand and row sum as supply. Further to assign the right job for right employee whereby
minimizing the total time required to perform the job, we used SUMPRODUCT function and
named the cell as Minimize (Z).
5
Step 3: Excel Solver Parameters
To find the value of Minimize (Z) value and to fill up the empty cells in the second step, we
used Solver Parameters tool. To use Solver Parameters tool, the following steps are
performed:
From the Data Tab, we used Solver option
In the set target cell (objective), we used Minimize(Z) cell
In the by Changing cells option, we used information from the Time Matrix table
In the subject to the constraints option, we used column sum and row sum
information equating to the demand and supply cells
To solve the problem we used Simplex Method option
Step 4: Job assignment table
6
The binary code 1 denotes the assigned job to the employee. Therefore to conclude, Pema
is assigned to the job of Finance officer, Sonam to Manager, Phub is assigned as an
Accountant and Rinchen is assigned to the Marketing department. By opting this
Scenario, The Happy Chips Business can take minimum of 19 hours in a week to perform
the job.
Results and Interpretation to Assignment Problem of Happy Chips Business
Using the Hungarian method, the minimum total time required by the employees of Happy
Chips Business to complete tasks in a day is 19 hours. This scenario can be achieved by;
Pema can be assigned to Finance department whereby he needs to work for 5hours a day,
Sonam needs to be assigned as a Manager where he is required to work for 6 hours in day,
Phub can work for 5 hours a day as an Accountant and Rinchen can also help to reduce
working hour of the business by working in Marketing department for 3 hours.
7
References
Burkard, R., Dell'Amico, M., & Martello, S. (2012). Assignment problems: revised reprint.
Society for Industrial and Applied Mathematics.
Druk Green Power Corporation Limited (n.d). Retrieved from [Link]
Ministry of Labor and Human Resources Department of Labour. (2022). Regulation
on Working Conditions, 2022. Retrieved from [Link]
content/uploads/2022/06/[Link].
Pentico, D.W. (2007). Assignment problems: A golden anniversary survey. European journal
of Operational Research, 176(20), 774-793.