An extended transportation problem: a DEA-based approach

The transportation problem is an important network structured linear programming problem that arises in several contexts and that has received a great deal of attention in the literature. The existing transportation problems are limited to consideration unit of shipping cost or profit along an arc. However, in many real applications, various attributes are usually considered in a transportation problem. The current paper, proposes an extension to this problem in the presence of multiple in-commensurate inputs and outputs for each arc. The concept of relative efficiency is defined for each possible transportation plan. Two linear programming models are proposed to determine the transportation plan with the maximum efficiency. A numerical example is used to illustrate the applicability of the approach.