Abstract

The fixed charge problem is an important application of the class of mixed integer programming problems, wherein a charge is associated with performing an activity at a nonzero level which does not depend on the level of the activity. In real world problems, the decision maker is usually unable to provide precise information regarding these fixed costs and other coefficients in the objective function. This imprecision here is dealt with the help of fuzzy numbers. This paper presents a fuzzy programming approach to determine a compromise solution of a fixed charge problem with several fuzzy objective functions. The procedure for solving the fixed charge problem is based upon the Balinski approximation solution method for a fixed cost transportation problem. A numerical example is presented to illustrate the proposed method.

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