Abstract:
In industries, raw material (finished products)
is transported from factories to warehouses, which
involves transportation cost. To reduce this cost,
transportation methods are used. In Mathematics and
Economics, transportation theory is the name given
to the study of optimal transportation and allocation
of resources. Transportation methods are strongly
recommended to minimize the transportation cost.
Transportation models application is very helpful to
organize the process of goods distribution. This
paper analyses on minimizing the transportation cost
based on Least Cost and Vogel's Approximation
Methods. By analyzing differences between these two
methods such as number of iterations, runtime, initial
solution and optimal solution, we can know which
method is more effective.
