Transportation models are the most extensively used model in linear programming. For the execution of such models, huge resources are committed by oil companies. Shipment of homogeneous goods from a supply source distributed to thevarious demanding destination is a simple example of thetransportation problem. When the goods are stated as homogeneous, it means that the provided commodities by various supply sources have similar characteristics and quantity. Basically, it can be said in this example that the transported commoditiesin thevarious destinations are same in every aspect.

It can be clearly stated from the simple example that any source can allocate goods to any destination. It is also a fact that to fulfil the demand at the designated destination, a single or more than one source can supply commodities. There is a specific demand quantity that is required by a destination. That demand is represented by the required number of units. Similar to thedestination, supply point also has a particular capacity which is represented by a maximum number of units required to be supplied.

Few measurements are used to explain transportation where each source supplies goods to every destination.

The linear programming model is explained as follows.

Minimise

Z=4x_{11} + 6x_{12}+ 2.5x_{13}+ 3 x_{14}+ 5x_{21}+2x_{22}+ 3.5x_{23} +4.5x_{24}

It is subjected to:

x_{11}+ x_{12} + x_{13} + x_{14} ≥1000

X_{21} + x_{22}+ x_{23} + x_{24} ≥ 800

x_{11}+x_{21}= 300

x_{12}+x_{22}= 500

x_{13}+x_{23}= 400

x_{14}+ x_{24}= 350

x_{11}, x_{12}, x_{13}, x_{14},x_{21}, x_{22}, x_{23}, x_{24} ≥0