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A Makonsel company is a fully integrated company that both produces goods and sells them at its retail outlets. After production, the goods are stored
A Makonsel company is a fully integrated company that both produces goods and sells them at its retail outlets. After production, the goods are stored in the company's two warehouse until needed by the retail outlet. Trucks are used to transport the goods from the two plants to the warehouses, and then from the warehouses to the three retail outlets. Using units of full truckloads, the following table shows each plants monthly output its shipping cost per truckload send to each warehouse, and the maximum amount that it can ship per month to each warehouse From/To Unit shipping cost Shipping capacityOutput Plant 1 Plant 2 $425 $560 510 600 125150 175200 200 300 For each retail outlet (RO), the next table shows its monthly demand, its shipping costs per truckload from each warehouse, and the maximum amount that can be shipped per month from each warehouse From/To Unit shipping cost Shipping capacity O1 RO2 RO3 RO1 RO2 RO3 8470 | $505 |8490 | 100 | 150 | 100 390 410 440 125 150 75 W2 Demand 150 200 150 150 200 150 Management now wants to determine a distribution plan (number of truckloads shipped per month from each plant to each warehouse and from each warehouse to each retail outlet) that will minimize the total shipping cost (a) Draw a network that depicts the company's distribution network. (b) Formulate this problem as a network (minimum cost flow) problem. (c) Solve the model using Python and Gurobi. A Makonsel company is a fully integrated company that both produces goods and sells them at its retail outlets. After production, the goods are stored in the company's two warehouse until needed by the retail outlet. Trucks are used to transport the goods from the two plants to the warehouses, and then from the warehouses to the three retail outlets. Using units of full truckloads, the following table shows each plants monthly output its shipping cost per truckload send to each warehouse, and the maximum amount that it can ship per month to each warehouse From/To Unit shipping cost Shipping capacityOutput Plant 1 Plant 2 $425 $560 510 600 125150 175200 200 300 For each retail outlet (RO), the next table shows its monthly demand, its shipping costs per truckload from each warehouse, and the maximum amount that can be shipped per month from each warehouse From/To Unit shipping cost Shipping capacity O1 RO2 RO3 RO1 RO2 RO3 8470 | $505 |8490 | 100 | 150 | 100 390 410 440 125 150 75 W2 Demand 150 200 150 150 200 150 Management now wants to determine a distribution plan (number of truckloads shipped per month from each plant to each warehouse and from each warehouse to each retail outlet) that will minimize the total shipping cost (a) Draw a network that depicts the company's distribution network. (b) Formulate this problem as a network (minimum cost flow) problem. (c) Solve the model using Python and Gurobi
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