The Transportation Problem Determining the lowest-cost transportation provider among several alternatives.
Quantitative technique used for solving the transportation problem is the transportation method.
Each source is able to supply a fixed number of units of the product and each destination has a fixed demand for the product. Potential Problems Unbalanced Transportation Problem Occurs when supply excceds demand or demand exceeds supply. Prohibited Route A transportation route over which goods cannot be transported. Usually due to road or railway construction or bad weather. Location Availability of multiple modes of transportation can provide flexibility and minimum-cost means of transporting various materials.