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.
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...
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