Shiv could instead implement a two-bin system to improve productivity and reduce inventory costs. National/local suppliers can provide lower cost and reduce transportation time and cost, this is called availability of closest to raw material supply, closest to power supply. Advantages of local suppliers: Low labor cost: In Shiv company they have more manpower due to labor cost in India is very less one of the advantages of Shiv company is to use human resources. At right time in right place Warehouse: shiv company must use proper warehouse to store the products and better supervision. the company needs to use both public and private warehouses. It is useful for transportation. The warehouse will fall into the distribution channel. The transportation method is one of the important advantages for Shiv company which has successfully used both road transportation for delivering products to customers and shipping gods to the warehouse. Results need to be shipped from different supply points to different demand points. The solution will minimize the total manufacturing and shipping costs faced by a special class of linear programming