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The company wants to distribute the items with minimum cost by having an efficient logistics network. Table 1 includes required information for the problem setting.
The company wants to distribute the items with minimum cost by having an efficient logistics network. Table includes required information for the problem setting. Please answer the following questions according to the explanations below by preparing a report. Keep all the plants and find the best transportation plan: a Provide the mathematical model of the problem. Sets Parameters, Decision Variables, Objective Function and Constraints b Present your optimal solution. Total cost fixed costs, transportation costs and transportation plan Do we need all the plants? Which plants to close? In part it is expected that all the facilities are opened. However, DLM also wants to consider to close some of the plants. What will be the optimal solution to minimize overall fixed transportation costs? Modify your mathematical model and find the least costly solution. Do not forget to explain your model and modifications. b Present your optimal solution. Total cost fixed costs, transportation costs and transportation plan Do we need all the plants? Which plants to close?
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