TWO STAGE APPROACH TO SOLVE EXTENDED TRANSPORTATION PROBLEM WITH PROBABILITY CONSTRAINTS

The transportation problem with multiple incommensurate inputs and outputs for each shipment link is considered as extended transportation problem. In the transportation problem, the distribution depends on the demand and the availability of homogeneous goods. Due to many reasons, demand and availability of goods may not be known. In our study, we assume that the demand and availability are random variables with some known probability distribution. We proposed a method based on data envelopment analysis to decide optimal shipment plan. The hypothetical illustration is considered to check the applicability of the proposed approach.