How Transportation Models are Helpful Tools for Modifying and Examining Existing Transportation Systems as well as Implementing new ones (Essay Sample)

Transportation Models
Name
Institution
Transportation Models
Transportation models are helpful tools for modifying and examining existing transportation systems as well as implementing new ones. Moreover, these models are useful for making critical decisions regarding resource distribution in factories and other business structures. These models can also be used as appropriate tools that provide decision makers in business with relevant information they require to balance correctly supply and cost (Schöbel, 2012). The models can be used for capacity planning in the same manner to engineering models used in highways, waterways planning. Transportation models also help in deciding the optimal shipping plan by establishing a lowest possible cost for shipping from several sources to several destinations (Carlsson, & Rönnqvist, 2007). This helps in comparing and finding alternatives regarding their effects on the final cost. The models can be applied in production planning, location decision, capacity planning as well as planning transshipment.
Usually, there is a transportation problem involving a determination of a minimum-cost for shipment from numerous sources to multiple destinations. Therefore, the transportation model is useful in determining how supplies should be made to various destinations and at the same time minimizing overall shipping cost. Thus, transportation costs play a significant in the location decision. Transportation models are used in comparing location alternatives regarding their ...