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This default value may be modified to accurately reflect current actual costs per Km based on your research.
How to install excel solver software#
The cost per Km is $ 0.60 which is a default value in the software for large trucks. These are round trip distances provided by the SCM Globe software. The second step is to enter the distances between all sources and destinations.
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We can easily see we have enough capacity to cover market demand. That gives us a total capacity of 2100 units. Then enter the unit storage capacity for each distribution center. Start by entering each store’s demand that gives us a total demand of 1190 units in this case. The first step in our process is to enter the data we need from the supply chain model in an organized manner. Now that we have defined the problem and the network model, it’s time to move to Excel to enter the data and make our analysis. Shown below is an abstract network design diagram for the supply chain model in the screenshot above: Moving to Excel
How to install excel solver trial#
We are glad to provide a free evaluation account to instructors, students and supply chain professionals interested in exploring SCM Globe simulations - click here to request an account - Get Your Free Trial Demo The screenshot below shows this network of facilities. Facilities are put on the map using the SCM Globe supply chain modeling and simulation app. It’s a simple network with two stages: three Distribution Centers and the other eight facilities are Stores. The maximum storage capacity of each source facility.īelow is the network design we are going to use.Facility locations and distances between each source and destination facility.Product demand at each destination facility.Here is a list of information needed to solve a transportation problem: a warehouse) to different destinations or markets in such a way as to minimize total transportation cost while satisfying all the supply and demand constraints. The transportation problem is one of the subclasses of a linear programming problem in which the objective is to transport products stored in a facility (e.g. By doing it right, you will be managing production and inventory effectively, speeding processes, and improving customer service. Allocating supply sources to facilities properly has a considerable impact on your supply chain’s financial and operating performance. The goal is to satisfy demand, which means being responsive, while also being efficient, which means having the lowest transportation cost. In this article, we will be exploring one of the fundamental cases of market and supply allocation it’s called the Transportation problem. Therefore, supply chain and logistics managers must take advantage of transportation’s potential in terms of opportunities for cost reduction. Have questions or feedback about Office VBA or this documentation? Please see Office VBA support and feedback for guidance about the ways you can receive support and provide feedback.Transportation costs are a significant component of the overall supply chain costs. Each function corresponds to an action that you can perform interactively, through the Solver Parameters, Solver Options, and Solver Results dialog boxes of the Solver add-in. The following functions can be used to control the Solver add-in from VBA. If Solver does not appear under Available References, click Browse, and then open Solver.xlam in the \Program Files\Microsoft Office\Office14\Library\SOLVER subfolder. In the Visual Basic Editor, with a module active, click References on the Tools menu, and then select Solver under Available References. In the Add-Ins dialog box, select Solver Add-in, and then click OK.Īfter you have enabled the Solver add-in, Excel will auto-install the Add-in if it is not already installed, and the Solver command will be added to the Analysis group on the Data tab in the ribbon.īefore you can use the Solver VBA functions in the Visual Basic Editor, you must establish a reference to the Solver add-in. In the Manage drop-down box, select Excel Add-ins, and then click Go. In the Excel Options dialog box, click Add-Ins. Before you can use the Solver VBA functions from VBA, you must enable the Solver add-in in the Excel Options dialog box.Ĭlick the File tab, and then click Options below the Excel tab.