Stateline Shipping

In: Business and Management

Submitted By Coleman78
Words 525
Pages 3
Stateline Shipping and Transport Company

Carla Coleman

Strayer University

MAT 540: Quantitative Method

Dr. Luke Howard

March 20, 2014 2014

Case Study: Stateline Shipping and Transport Company

In this case study, we are introduced to Rachel Sundusky, the manager of the South-Atlantic office of the Stateline Shipping and Transport Company. The information we are given is that Rachel is in the process of negotiating a new contract to haul hazardous chemical waste from six (6) locations to three (3) waste disposal sites for Polychem, a manufacturer or chemicals for industry use. Rachel has estimated both the cost to transport one barrel from each location to each disposal site, as well as between each location. In estimating these costs, Rachel took into account that some towns and municipalities where the six plants are located restrict the transportation of hazardous material within municipal limits, so costs in some cases had to include traversing circutous routes.

Rachel is given the number of barrels of waste each of the six plant locations will need picked up and how many barrels each of the waste disposal sights can accept. Given this information, and the esimated shipping costs she has developed, Rachel would like to determine which shipping routes will minimize Stateline’s total cost. She would like to consider the cost to move the waste directly from each plant location to a waste sight, as well a whether there is any cost savings if Stateline drops off and picks up some loads at the various plants and waste sites. One she has made these determinations, she will be in a better position to prepare a contract and negotiate the deal with Polychem.

Transportation Model

We are given the amount of waste, in barrels, to be hauled from each six (6) plant…...

Similar Documents

Stateline Shipping and Transport Company

...Stateline Shipping and Transport Company The transportation model will be set up by assigning a variable to each site. The plants Danville, Selma, and Columbus are 1, 2 and 3 respectively. This makes the waste disposal sites at White Water, Los Canos, Duras variables A, B and C, respectively. Decision variables: 1. Ship from 1: x1A, x1B, x1C 2. Ship from 2; x2A, x2B, x2C, 3. Ship from 3: x3A, x3B, x3C, The objective function is: Min. cost Z= 14x1A+9x1B+10x1C+17x2A+16x2B+19x2C+7x3A+14x3B+12x3C There will be one constraint for each location regardless of how many variables. Plant constraints: Output from plant 1: x1A + x1B + x1C =26 Output from plant 2: x2A + x2B + x2C = 53 Output from plant 3: x3A + x3B + x3C = 29 Waste disposal site constraints: Intake at site A: x1A + x2A + x3A ≤65 Intake at site B: x1B + x2B + x3B ≤80 Intake at site C: x1C + x2C + x3C ≤105 Once the data solver is set up the model comes up with this solution: Ship all Danville and Selma waste to Los Canos and all Columbus Waste to White Water to get a shipping cost of $1285.00 3. The transshipment model will follow the same logic as the transportation when setting up the variables. There will be a variable for each shipment from plant to plant, plant to waste disposal site and waste disposal site to waste disposal site. I started out Decision......

Words: 587 - Pages: 3

Stateline Shipping & Transport Company

...Week 10 – Assignment # 4 06/16/13 Coretta M. Monts Stateline Shipping & Transport Company Question #1 – Transportation Model Plant Waste Disposal | A. White Water | B. Los Canos | C. Duras | Supply | 1. Kingsport | 12 | 15 | 17 | 35 | 2. Danville | 14 | 9 | 10 | 26 | 3. Macon | 13 | 20 | 11 | 42 | 4. Selma | 17 | 16 | 19 | 53 | 5. Columbus | 7 | 14 | 12 | 29 | 6. Allentown | 22 | 16 | 18 | 38 | Demand | 65 | 80 | 105 | | Xij = Shipping from plant to disposal site. i = PLANT = 1,2,3,4,5,6 j = disposal sites = A, B, C The objective function of the manager is to minimize the total transportation cost for all shipments. Therefore, the objective function is the sum of the individual shipping costs from each plant to each waste disposal site: Minimize Z = 121A + 151B + 171C+142A+92B+102C+133A+203B+113C +174A+164B+194C+75A+145B+125C+226A+166B+186C The constraints in the model are the number of barrels of wastes available per week at each plant and the number of barrels of wastes accommodated at each waste disposal site. There are 9 constraints- one for each plant supply and one for each waste disposal site’s demand. Subject to: X1A + x1B + X1C = 35 X 2A + X 2B + X 3C= 26 X3A + X3B + X 3C = 42 X4A + X 4b + X4C = 53 X5A + X5b + x5C = 29 X6a + x 6B + x 76b = 38 X1A + X 2A + X 3A + X 4A+ X5A + X 6A = 65 X1B + X 2B + X 3B = X 4B + X5B + X 6B = 80 X1C + X 2C + X 3C = X 4C + X5C + X 6C = 105 XIJ ≥ ......

Words: 1453 - Pages: 6

Stateline Shipping and Transport Company

...Stateline Shipping and Transport Company School of Business MAT 540 This paper was presented in submission for MAT 540 assignment four (Part 1 Only). Abstract This paper serves as a written response to the instructions and questions asked in assignment four. Assignment four instructed the writer to read the case problem Stateline Shipping and Transport Company from pages 273-274 in the text, Introduction to Management Science by Bernard W. Taylor. The assignment then directed the writer to Formulate and Solve and linear transportation programming model, this step was done in QM. The linear programming model is attached herein. Keywords: Linear Programming, Transportation, Shipping, Model Introduction This Case Problem, Stateline Shipping and Transport Company, is based on a girl named Rachel Sundusky who is a manager of the South-Atlantic office for Stateline Shipping and Transport (Taylor, 2010). Rachel is negotiating a contract with Polychem an industrial use chemical company (Taylor, 2010). Polychem has six sites that it would like for Stateline to pick up waste from (Taylor, 2010). Polychem would then like for Stateline to transport the waste for disposal to one of three sites (Taylor, 2010). Polychem has agreed to handle all of the waste at all sites therefore Stateline needs only transport the materials and incur costs for the same (Taylor, 2010). Rachel would like to see what the less costly shipping routes are (Taylor, 2010). Rachel will need all of......

Words: 1105 - Pages: 5

Case Problem: Stateline Shipping and Transport Company

...Case Problem: Stateline Shipping and Transport Company Assignment #4 Case Problem: Stateline Shipping and Transport Company MAT540: Quantitative Methods Vargha Azad 09/08/13 In Excel, or other suitable program, develop a model for shipping the waste directly from the 6 plants to the 3 waste disposal sites. Solve the model you developed in #1 (above) and clearly describe the results. In Excel, or other suitable program. Develop a transshipment model in which each of the plants and disposal sites can be used as intermediate points. 6 Plants labeled 1 through 6, 3 waste facilities labeled A through C Objective function: Minimize Z = 1A(12) + 1B(15) + 1C(17) + 2A(14) + 2B(9) + 2C(10) + 3A(13) + 3B(20) + 3C(11) + 4A(17) + 4B(16) + 4C(19) + 5A(7) + 5B(14) + 5C(12) + 6A(22) + 6B(16) + 6C(18); Subject to: 1A + 1B + 1C = 35 2A + 2B + 2C = 26 3A + 3B + 3C = 42 4A + 4B + 4C = 53 5A + 5B + 5C = 29 6A + 6B + 6C = 38 1A + 2A + 3A + 4A + 5A + 6A ≤ 65 1B + 2B + 3B + 4B + 5B + 6B ≤ 80 1C + 2C + 3C + 4C + 5C + 6C ≤ 105 All Combinations ≥ 0 Solver add-on solution in MS Excel yielded the following results: 35 bbl of wastes shipped from Kingsport to Whitewater, 26 bbl of waste shipped from Danville to Duras, 42 bbl of wastes shipped from Macon to Duras, 1 bbl of wastes shipped from Selma to Whitewater, 52 bbl of wastes shipped from Selma to Los Canos, 29 bbl of wastes shipped......

Words: 1072 - Pages: 5

Mat540 Stateline Shipping

...Running head: STATELINE SHIPPING 1 Case Study Stateline Shipping and Transport Company Susan Dawson Strayer University STATELINE SHIPPING 2 Case Study: Stateline Shipping and Transport Company In this case study, we are introduced to Rachel Sundusky, the manager of the South-Atlantic office of the Stateline Shipping and Transport Company. The information we are given is that Rachel is in the process of negotiating a new contract to haul hazardous chemical waste from six (6) locations to three (3) waste disposal sites for Polychem, a manufacturer or chemicals for industry use. Rachel has estimated both the cost to transport one barrel from each location to each disposal site, as well as between each location. In estimating these costs, Rachel took into account that some towns and municipalities where the six plants are located restrict the transportation of hazardous material within municipal limits, so costs in some cases had to include traversing circutous routes. Rachel is given the number of barrels of waste each of the six plant locations will need picked up and how many barrels each of the waste disposal sights can accept. Given this information, and the esimated shipping costs she has developed, Rachel would like to determine which shipping routes will......

Words: 1877 - Pages: 8

Stateline Shipping Assignment

...the White water waste disposal plant (2) 52 bbl from Selma and 28 bbl from Allentown to Los Canos waste disposal plant (3) 26 bbl from Danville, 42 bbl from Macon and 10 bbl from Allentown to the Duras waste disposal plant The minimum cost=35*12+26*10+42*11+1*17+52*16+29*7+28*16+10*18 =$2822. (3) Modified Problem Since the company having another option to drop a load at a plant or disposal sites and then picked up and carried on the final destination without extra cost, we can find certain roots in this model, it is cheaper to drop and pick up loads at intermediate points rather than ship them directly. So dropping the waste at certain intermediate position as described below will give certain cost advantage to the shipping company. So by considering all such possibilities some intermediate points are identified to drop the waste to minimize cost of transportation. All such roots with the lowest cost are given in the following table. Among the new roots, the roots with minimum cost are marked in green. Sl. No. Plant From Intermediate Position Disposal centre Cost Minimum cost 1 Kingsport ------------- Duras $17 $15 Kingsport Danville Duras $15 2 Macon -------------- Los Canos $20 $19 Macon Selma Los Canos $19 3 Selma ------------- White water $17 $10 Selma Columbus White water $10 4 Selma ------------- Duras $19 $14 Selma Macon Duras $14 5 Allentown ------------ White water $22 $20 Allentown Kingsport White......

Words: 1320 - Pages: 6

Stateline Shipping

...Assignment #4: Case Problem “Stateline Shipping and Transport Company” 1. In Excel, or other suitable program, develop a model for shipping the waste directly from the 6 plants to the 3 waste disposal sites. White water Los Canos Duras Availability Kingsport $12.00 $15.00 $17.00 35 Danville $14.00 $9.00 $10.00 26 Macon $13.00 $20.00 $11.00 42 Selma $17.00 $16.00 $19.00 53 Columbus $7.00 $14.00 $12.00 29 Allentown $22.00 $16.00 $18.00 38 Capacity 65 80 105 223 The objective of the problem is to develop a shipping schedule that minimizes the total cost of transportation. Suppose Xij denotes the number of barrels of wastes to be transported from the “i” plant to “j” site. Then the total cost of transportation is: Z = 12 X11 + 15 X12 + 17 X13 + 14 X21 + 9 X22 + 10 X23 + 13 X31 + 20 X32 + 11 X33 + 17 X41+ 16 X42 + 19 X43 + 7 X51 + 14 X52+ 12 X53 + 22 X61 + 16 X62 + 18 X63. Thus the objective function of the problem is to minimize Z = 12 X11 + 15 X12 + 17 X13 + 14 X21 + 9 X22 + 10 X23 + 13 X31 + 20 X32 + 11 X33 + 17 X41+ 16 X42 + 19 X43 + 7 X51 + 14 X52+ 12 X53 + 22 X61 + 16 X62 + 18 X63. Constraints Availability in plants: X11 + X12 + X13 = 35 X21 + X22 + X23 = 26 X31 + X32 + X33 = 42 X41 + X42 + X43 = 53 X51 + X52 + X53 = 29 X61 + X62 + X63 = 38 Capacity of the sites: X11 + X21+ X31+X41 + X51 + X61 ≤ 65 X12 + X22+ X32+X42 + X52 + X62 ≤ 80 X13 + X23+ X33+X43 + X53 + X63 ≤ 105 Non- Negativity restrictions Xij ≥ 0 , i = 1,2,3,4,5,6 ; j = 1,2,3...

Words: 2300 - Pages: 10

Stateline Shipping

...Stateline Shipping and Transport In the “Stateline Shipping and Transport Company” case there is the manager Rachel Sundusky of the South –Atlantic office of the Stateline Shipping and Transport Company. She is trying to negotiate a new shipping contract with Polychem where Stateline picks up and transport waste product form its six plants to three waste disposal sites. In this problem we are trying to determine the shipping routes the will minimize Stateline total cost. In the first part I set up the problem in excel showing the shipping to the waste directly from the six plants to the three waste disposal site. In the result I had a Z value which is the minimum cost of $3090.00 that Polychem will pay Stateline to transport their products. It also shows that Danville and Columbus is not safe to ship from because they cannot provide the supply that is needed. In the second part I develop a transshipment model in which each of the plants and disposal sites can be used as intermediate points. In the results it shows that I had a Z value which is the minimum cost of 2884.00 that Polychem will pay Stateline to transport their products. Also shows that Danville is not worth using to ship from because they cannot provide the supply that is needed. The overall results show that it is cheaper for Stateline to use the routes where the plants and disposal sites can be used as intermediate points. In both models it shows that Danville is not a good shipping site. Over all......

Words: 292 - Pages: 2

Stateline Shipping and Transport Co Math 540

...Running Head: Stateline Shipping and Transport Company Stateline Shipping and Transport Company Quantitative Methods – Math 540 1) The model transportation problem consists of 18 decision variables; symbolize the number of barrels of wastes transported from each of the six plants to each of the three waste disposal sites: [pic]= Number of Barrels transported per week from plant ‘i’ to the j-th waste disposal site, Where i = 1, 2, 3, 4, 5, 6 and j = A, B, C. Objective function of the manager is to minimize the total transportation cost for all shipments. The objective function is the sum of the individual shipping costs from each plant to each waste disposal site: Minimize Z = 12[pic]+ 15[pic]+ 17[pic]+ 14[pic]+ 9[pic]+ 10[pic]+ 13[pic]+ 20[pic] +11[pic] +17[pic] +16[pic] +19[pic] +7[pic] +14[pic] +12[pic] +22[pic] +16[pic] +18[pic] The constraints in the model are the number of barrels of wastes available per week at each plant and the number of barrels of wastes accommodated at each waste disposal site. There are nine constraints- one for each plant supply and one for each waste disposal site’s demand. The six supply constraints are: [pic]+ [pic]+ [pic] = 35 [pic]+ [pic]+ [pic] = 26 [pic]+ [pic] +[pic] = 42 [pic] + [pic] +[pic] = 53 [pic] +[pic] +[pic] = 29 [pic] + [pic] +[pic] = 38 The supply constraint [pic]+ [pic]+ [pic] = 35 symbolize the number of barrels transported from the plant Kingsport to......

Words: 1800 - Pages: 8

Mat 540 Week-10 Assignment-4 Case Problem Stateline Shipping and Transport Company

...CASE PROBLEM STATELINE SHIPPING AND TRANSPORT COMPANY To purchase this Click here: http://www.activitymode.com/product/mat-540-week-10-assignment-4-case-problem-stateline-shipping-and-transport-company/ Contact us at: SUPPORT@ACTIVITYMODE.COM MAT 540 WEEK-10 ASSIGNMENT-4 CASE PROBLEM STATELINE SHIPPING AND TRANSPORT COMPANY Read the “Stateline Shipping and Transport Company” Case Problem on pages 273-274 of the text. Analyze this case, as follows: 1. In Excel, or other suitable program, develop a model for shipping the waste directly from the 6 plants to the 3 waste disposal sites. 2. Solve the model you developed in #1 (above) and clearly describe the results. 3. In Excel, or other suitable program, Develop a transshipment model in which each of the plants and disposal sites can be used as intermediate points. 4. Solve the model you developed in #3 (above) and clearly describe the results. 5. Interpret the results and draw conclusions that address the question posed in the case problem. What are the limits of the study? Write at least one paragraph. Click Here to Buy this; http://www.coursehomework.com/product/mat-540-week-10-assignment-4-case-problem-stateline-shipping-and-transport-company Activity mode aims to provide quality study notes and tutorials to the students of MAT 540 Week-10 Assignment-4 Case Problem Stateline Shipping and Transport Company in order to ace their studies. MAT 540 Week-10 Assignment-4 Case Problem Stateline Shipping and......

Words: 1515 - Pages: 7

Quantitative Method / Stateline Shipping and Transport Company

...Assignment #4: Case Problem “Stateline Shipping and Transport Company” 1) This transportation model problem consists of 18 decision variables, representing the number of barrels of wastes product transported from each of the 6 plants to each of the 3 waste disposal sites: [pic]= Number of Barrels transported per week from plant ‘i’ to the j-th waste disposal site, where i = 1, 2, 3, 4, 5, 6 and j = A, B, C. The objective function is to minimize the total transportation cost for all shipments. So the objective function is the sum of the individual shipping costs from each plant to each waste disposal site: Minimize Z = 12[pic]+ 15[pic]+ 17[pic]+ 14[pic]+ 9[pic]+ 10[pic]+ 13[pic]+ 20[pic] +11[pic] +17[pic] +16[pic] +19[pic] +7[pic] +14[pic] +12[pic] +22[pic] +16[pic] +18[pic] Let’s assume the constraints are the number of barrels of wastes available per week at each plant and the number of barrels of wastes contained at each waste disposal site. Therefore there are 9 constraints- one for each plant supply and one for each waste disposal site’s demand. The six supply constraints are: [pic]+ [pic]+ [pic] = 35 [pic]+ [pic]+ [pic] = 26 [pic]+ [pic] +[pic] = 42 [pic] + [pic] +[pic] = 53 [pic] +[pic] +[pic] = 29 [pic] + [pic] +[pic] = 38 For example, let’s say the supply constraint [pic]+ [pic]+ [pic] = 35 represents the number of barrels transported from the plant Kingsport to all the three waste disposal sites. The amount transported from Kingsport is......

Words: 1325 - Pages: 6

Stateline Shipping

...Rachel Sundusky is a manager of the South-Atlantic office of the Stateline Shipping and Transport Company. She is in the process of negotiating a new shipping contract with Polychem, a company that manufactures chemicals for industrial use. Polychem wants Stateline to pick up and transport waste products from its six plants to three waste disposal sites. Rachel is very concerned about this proposed arrangement. The chemical wastes that will be hauled can be hazardous to humans and the environment if the leak. In addition, a number of towns and communities in the region where the plants are located prohibit hazardous materials from being shipped through the municipal limits. Thus, not only will the shipments have to be handled carefully and transported at reduced speeds, they will also have to traverse circuitous routes in many cases. Rachel has estimated the cost of shipping a barrel of waste from each of the six plants to each of the three waste disposal sites as shown in the following table. WASTE DISPOSAL SITE Plant Whitewater Los Canos Duras Kingsport $ 12 $ 15 $ 17 Danville 14 9 10 Macon 13 20 11 Selma 17 16 19 Columbus 7 14 12 Allentown 22 16 18 The plants generate the following amounts of waste products each week. Plant Waste per week(bbl) Kingsport 35 Danville 26 Macon 42 Selma 53 Columbus 29 Allentown 38 The three waste disposal......

Words: 831 - Pages: 4

Stateline Shipping and Transport Company

...Rachel Sundusky is a manager of the South-Atlantic office of the Stateline Shipping and Transport Company. She is in the process of negotiating a new shipping contract with Polychem, a company that manufactures chemicals for industrial use. Polychem wants Stateline to pick up and transport waste products from its six plants to three waste disposal sites. Rachel is very concerned about this proposed arrangement. The chemical wastes that will be hauled can be hazardous to humans and the environment if the leak. In addition, a number of towns and communities in the region where the plants are located prohibit hazardous materials from being shipped through the municipal limits. Thus, not only will the shipments have to be handled carefully and transported at reduced speeds, they will also have to traverse circuitous routes in many cases. Rachel has estimated the cost of shipping a barrel of waste from each of the six plants to each of the three waste disposal sites as shown in the following table. WASTE DISPOSAL SITE Plant | Whitewater | Los Canos | Duras | Kingsport | $ 12 | $ 15 | $ 17 | Danville | 14 | 9 | 10 | Macon | 13 | 20 | 11 | Selma | 17 | 16 | 19 | Columbus | 7 | 14 | 12 | Allentown | 22 | 16 | 18 | The plants generate the following amounts of waste products each week. Plant | Waste per week(bbl) | Kingsport | 35 | Danville | 26 | Macon | 42 | Selma | 53 | Columbus | 29 | Allentown |......

Words: 716 - Pages: 3

Assignment #4: Case Problem “Stateline Shipping and Transport Company”

...Stateline Shipping And Transport Company 1. Formulation of the Problem The Stateline Shipping and Transport Company wanted to transport industrial wastes from the 6 plants to the 3 waste disposable sites. The problem can be represented in as a Transportation table as shown below. Our problem is to find roots to disposable sites, such that the cost of transportation is minimized.. White water Los Canos Duras Availability (bbl) Kingsport $12.00 $15.00 $17.00 35 Danville $14.00 $9.00 $10.00 26 Macon $13.00 $20.00 $11.00 42 Selma $17.00 $16.00 $19.00 53 Columbus $7.00 $14.00 $12.00 29 Allentown $22.00 $16.00 $18.00 38 Capacity (barrels) 65 80 105 Mathematical Formulation Let Xij i=1,2,3,4,5,6; j =1,2,3 denote the quantity of waste transported from i-th plant to j-th waste disposal centre. Then the objective function Z representing the cost and different constraints of the problem can be written as Minimize Z=12X11+15X12+17X13+14X21+9X22+10X23+13X31+20X32+11X33+17X41+16X42+19X43+7X51+14X52+12X53+22X61+16X62+18X63 Subject to X11+X12+X13 = 35 Is this essay helpful? Join OPPapers to read more and access more than 600,000 just like it! get better grades X21+X22+X23 = 26 X31+X32+X33 = 42 X41+X42+X43 = 53 X51+X52+X53 = 29 X61+X62+X63 = 38 X11+X21+X31+X41+X51+X61 65 X12+X22+X32+X42+X52+X62 80 X13+X23+X33+X43+X53+X63 105 Xij 0, i=1,2,3,4,5,6; j=1,2,3. 2. The transportation problem described above can be solved mathematically using a......

Words: 385 - Pages: 2

Stateline Shipping

...Assignment #4 – Stateline Shipping & Transport Company 1. The model for the transportation problem consists of 18 decision variables, representing the number of barrels of wastes transported from each of the 6 plants to each of the 3 waste disposal sites: [pic]= Number of Barrels transported per week from plant ‘i’ to the j-th waste disposal site, where i = 1, 2, 3, 4, 5, 6 and j = A, B, C. The objective function of the manager is to minimize the total transportation cost for all shipments. Thus the objective function is the sum of the individual shipping costs from each plant to each waste disposal site: Minimize Z = 12[pic]+ 15[pic]+ 17[pic]+ 14[pic]+ 9[pic]+ 10[pic]+ 13[pic]+ 20[pic] +11[pic] +17[pic] +16[pic] +19[pic] +7[pic] +14[pic] +12[pic] +22[pic] +16[pic] +18[pic] The constraints in the model are the number of barrels of wastes available per week at each plant and the number of barrels of wastes accommodated at each waste disposal site. There are 9 constraints, one for each plant supply and one for each waste disposal site’s demand. The six supply constraints are: [pic]+ [pic]+ [pic] = 35 [pic]+ [pic]+ [pic] = 26 [pic]+ [pic] +[pic] = 42 [pic] + [pic] +[pic] = 53 [pic] +[pic] +[pic] = 29 [pic] + [pic] +[pic] = 38 Here is an example of the supply constraint, [pic]+ [pic]+ [pic] = 35 and it represents the number of......

Words: 1817 - Pages: 8