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The Stepping-Stone Method

The stepping stone method 1

In case of finance, if you have been looking for finding an optimal solution, the most important method that is taken into consideration is the Stepping Stone Method. In this format, in case of transportation problem, prospect of optimal solution is to be found. Here, there are 3 prospects that are taken into consideration, which includes: Least Cost/Vogel’s Approximation/North Wet Corner Rule).

Coming from the analogy of crossing a pond with help of stones, here the whole table is taken as a pond, where these stones are to be taken as occupied cells. So, as the stones in pond move, quite similarly these cells are also made to change positions and thereby optimal solution can be counted.

Process to do it:

There is a specific process that is followed in this regard:

  • A loop or closed path is present where the first cell is taken to be empty while other cells are used at the same time.

In this regard certain conditions are followed:

  • The occupied cells are taken in the same column or row
  • In the same row or column 3 used cells cannot be placed
  • In a specific sequence one cell appears once
  • Whatever be the last and first sequence, it has to lie on the same column or row
  • In case of occupied cells, only vertical or horizontal movement is allowed

 

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