An optimal transshipment scheme for oil company based in the Greater Accra Region

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The problem in this thesis deals with the transportation of goods from an oil company to the consumer through intermediate warehouses referred to as the transshipment centers. A mathematical technique is used here to find a minimum cost of transporting these goods while not sacrificing the requirements of the consumers and the production capacities of the source or factory. Optimization technique such as linear programming is employed. The simplex algorithm is used and then a special transportation algorithm is discussed and again used to solve the transshipment problem. The total cost of transportation obtained is compared to the actual cost of transportation incurred by the company. It is found that a significant difference exists and certain commodities need not be transported along certain routes.
A thesis submitted to the Board of Postgraduate Studies, Kwame Nkrumah University of Science and Technology, Kumasi, in partial fulfilment of the requirement for the award of the Degree of Master of Science in Mathematics, 1998