A fuzzy transshipment model for allocating foreign currencies

摘要

A fuzzy approach is proposed to formulate and solve a transshipment-type model for the optimal allocation of foreign currencies in a Multinational Corporation (MNC) when costs are fuzzily defined. A simple method is presented to solve a transshipment model with fuzzy costs, and transshipment model with fuzzy supply and demand. The method is applied to an international cash management problem to handle the general problem of multinational cash flow netting and to provide the optimal solution of the allocation of foreign currencies in MNC. Such an approach can be important for transferring cash from subsidiaries which is a part of the cash mobilisation decision.