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This would be more beneficial in two ways: By using this strategy, we would minimize our time, by spreading the work over 4 contractors, but we also minimize our cost, by hiring contractors per repair item.Despite how simple this may appear, it could get quite difficult to calculate if we had a much larger pool of contractors to choose from, or had many more repairs to consider.
Now, this is originally what we had decided anyway, and with only a 4x4 matrix, it wasn’t that difficult. Trying to allocate jobs in this way, in order to minimize both time and expense would be incredibly difficult.
This method allows make those calculations much more easily.
So by setting that value to zero, we can then subtract that value from the other column values.
The rows represent the price we would have to pay the contractors.
After completing step 2 we can see that each row and each column have a zero, which leaves us with the challenge of allocating the appropriate jobs to each contractor.
From here, we’ll select only row or column values of zero.
Let’s assume the four quotes you received look like this: This would seem pretty reasonable, all things considered.
And we might naturally just go with Susan, since she’s giving us the best overall price.
Luckily, there is a great formula for figuring this type of problem out.
I’m going to be using something called the Hungarian Method.