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I am solving a linear programming problem for transportation and have to use the VAM method, vogel approximation. As the problem is unbalanced, I know that I have to add a dummy column to balance it. When I calculate the penalty if I consider the 0 of the cost in the dummy column of course it changes everything, and actually it brings me to more iterations. Do you know which is the correct way to do? Can I ignore the 0 of the dummy column when calculating the penalty? thanks

jsab
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1 Answers1

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After the dummy row or column has been added to balance supply and demand, just treat it as any other, and for each row and column calculate the difference between the lowest and next lowest costs to get the Vogel opportunity cost of not selecting the lowest. You can't ignore the zeros in the dummy - what would you do if a real row or column had all costs infinitessimally close to zero? Answer, you'd just consider them as they are. So you must do this whatever the costs are.

GarryB
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