Discuss the alternatives, also taking into account the solution from part (a) and explain which additional information you might need to give the company more specific advice.

Portfolio of Problems: GT3 BNK460 Decision Models
Note: Parts A and B can be solved and answered after completing the first three units of the module.
A. Formulate a linear programming model to determine the minimum cost transportation schedule.
Explain clearly the variables you use and the constraints you construct. What is the minimum cost transportation schedule and what are the corresponding costs?
B. Discuss the effect on the minimum transportation cost when capacity at each factory or warehouse is altered by adding or subtracting one ton. What are the minimum capacity changes at Glasgow that will alter the optimum set of routes and what will those alterations be? Explain how you arrive at each one of your answers.
C. The management of the company is considering the possibility of closing down one of the warehouses as this is expected to result in substantial labour and maintenance savings.

Formulate a mixed integer
linear programming model – or, if necessary, different model variants – to examine and evaluate the alternative courses of action. What would you recommend the company to do, and why?
Discuss the alternatives, also taking into account the solution from part (a) and explain which additional information you might need to give the company more specific advice.