APPLICATION OF OPTIMALITY TEST
The practical steps involved in Optimality Test are given below:
| Step 1 → | Compute “Ui” and “Vj” for all Rows and Columns respectively on the basis of Allocated Cells such that Cij = Ui + Vj after taking any Ui or Vj = 0,
where Cij = Shipping Cost per unit of Occupied Cell; i = Row Number; j = Column Number; Ui = Shipping Cost per unit of Supplying Station; and Vj = Shipping Cost per unit of Receiving Station Note: While taking any Ui or Vj = 0, that row or column which is having maximum allocated cells, should preferably be selected. |
| ↓ | |
| Step 2 → | Compute Opportunity Cost, or say OC, for Unallocated Cells where OC = Cij - (Uij + Vij). |
| ↓ | |
| Step 3 → | If ‘OC’ ... |
Get Quantitative Techniques: Theory and Problems now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
