Fractional transportation problem with fuzzy parameters

Abstract

The fractional transportation problem (FTP) plays an important role in logistics and supply management for reducing cost and improving service. In the real world, however, the parameters in the models are seldom known exactly and have to be estimated. This paper investigates the FTP where the cost coefficients and right-hand sides are represented by fuzzy parameters. Intuitively, when the parameters in the FTP are fuzzy numbers, the derived objective value should be also a fuzzy number. Based on Zadeh’s extension principle, a pair of two-level mathematical programs is formulated to calculate the fuzzy objective value of the FTP with fuzzy parameters. By applying the dual formulation of linear fractional programming and variable substitution techniques, the two-level mathematical programs are transformed into ordinary one-level linear programs to solve. At a specific $\alpha$-cut, solving the pair of linear programs produces the bounds of the objective value of the fuzzy FTP. By collecting the bounds from different $\alpha$ levels, one can depict the shape of the membership function. An example illustrates how to apply the concept of this paper to solve the fuzzy FTP problem.