APPROXIMATION VOGELS EFFECTIVENESS METHOD (VAM) MINIMIZE COST OF TRANSPORTATION.

This research aims to identify and excellence VAM methods to minimize transportation costs. The data used in this research is secondary data. Based on the results of the discussion that has been done in this study, in the case of UD. Berdikari Tani distribution acquired its initial solution is 5.70312 million, - through 6 stages using the VAM method, while the method of NWC obtained initial solution of 5.71624 million, - through six stages as well. Furthermore, from the results of testing the optimum solution MODI method of both methods is the method of VAM and VAM NWC obtained that the method is better than the NWC because the testing table VAM optimum solution immediately obtained the optimum solution that is equal to 5.70312 million while at the beginning of the solution table NWC testing methods MODI found negative index numbers so that the table is called not optimal. In the case of the Southern Area Semen Bosowa distribution obtained initial solution of 27.875 million, - through seven stages using the VAM method, while the NWC method to get the initial solution of 31.875 million, - through seven stages. Furthermore, testing optimum solution methods VAM MODI of the initial solution obtained was 27.75 million. This results in an optimum value of transport costs as compared with the optimum solution testing method NWC MODI of the initial solution that is equal to 30.875 million.