Can we apply transshipment models to inventory applications? Why or why not? Transshipment models can be applied to inventory applications because like transshipment models inventory applications deal transporting goods to different destinations. Items are transported from one destination to another just like inventory applications. Is the transportation model an example of decision making under certainty or decision making under uncertainty? Why?
Transportation model is an example of decision making under certainty because the destinations of the goods are decided and are not unknown which makes the decision making a certainty because the destination is known. The transshipment model is an extension of the transportation model in which intermediate transshipment points are added between the sources and destinations. An example of a transshipment point is a distribution center or warehouse located between plants and stores.
In a transshipment problem, items may be transported from sources through trans-shipment points on to destinations, from one source to another, from one transshipment point to another, from one destination to another, or directly from sources to destinations, or some combination of these alternatives. Therefore we can apply the transshipment models to inventory applications because deals with a source and destinations and they are similar. The transportation model is an example of decision making under certainty because the sources and destination are known factors before making the decision.
Author: Anonymous Date: Thursday, April 28, 2011 4:35:45 PM EDT Subject: Week 10 Discussion 2 Explain the assignment model and how it facilitates in solving transportation problems. What benefits would be gained from using this model? Explain the assignment model and how it facilitates in solving transportation problems. The assignment model is for a specific form of transportation model in which all supply and demand values are equal to one. Is basically tells you which value X- needs to go to which destination Y-.
Assignment #4: Case Problem “Stateline Shipping and Transport Company” The model developed describes the shipping of the waste from the plants to the three waste disposal sites. The results for the model are that of the numbers for the six plants and the three waste. The waste received is broken down in the other two models. The limits to the study are that it doesn’t state how long it took to accumulate a cost of 2630. Also out of the six plants only three of them were taken to a disposal site.