Module 2 - Linear Program Model Formulation
Module 2 - Linear Program Model Formulation
Instructor
1. OBJECTIVES
This module focuses on two topics: (a) definition and characterization of the different
parts of a linear programming model, and (b) formulation of LP models. This also contains a
three (3) item pre-test which aims to gauge your idea of the topics mentioned, followed by a
pre-test feedback which will contain your class’ score for the aforementioned test. Under the
learning activities section are the contents of the module (lecture) and learning assessment
(activity). Lastly, a post-test is found at the end of the module to measure your learning for the
topic and a post-test feedback for your instructor’s remarks.
3. PRE-TEST
● These are the restrictions on the values of the decision variables that are needed to be
satisfied.
a. Optimality condition
b. Feasibility condition
c. Objective function
d. Constraints
● This is the characteristic of the optimal solution which means that it yields the best value
for the objective function.
a. Optimal
b. Feasible
c. Normally distributed
d. Consistent
4. PRE-TEST FEEDBACK
Mathematical models are used to represent the actual situation and to arrive at valid
results to aid in the decision-making process. The scientific approach of solving problems
under operations research (OR) exploits the use of mathematical models.
The most common tool for solving these mathematical models is called linear
programming (LP). This mostly deals with problems concerning the allocation of scarce
resources to competing activities in the most optimal and feasible way.
a) Study the given situation. Hence, identify the decision variables of the problem.
Decision variables are variables whose values are under the control of the system
and thus, can influence its performance.
b) Formulate the objective function. These are the goals to be optimized, either profit
maximization or cost minimization, or both.
c) Formulate the constraints of the problem. These are the restrictions on the values of
the decision variables that are needed to be satisfied, and are sometimes identified as
‘Subject To’.
d) Add the non-negativity constraints. These are added to ensure that the decision
variables will obtain a positive value after the iteration.
An optimization / LP model aims to find values of the decision variables that are at the
same time, optimal and feasible. A solution of the model is feasible if it satisfies all the
constraints. It is optimal, if in addition to being feasible, it yields the best (maximum or
minimum) value of the objective function.
Subject To:
Constraints
Non-negativity constraints
This part entails the steps on how to analyze an optimization problem, to identify and
classify the unknown and known variables, and to formulate its corresponding linear
programming model leading to its solution.
Reddy Mikks produces both interior and exterior paints from two raw materials, M1 and
M2. The following table provides the basic data of the problem:
Raw material, M1 6 4 24
Raw material, M2 1 2 6
A market survey indicates that the daily demand for interior paint cannot exceed that for
exterior paint by more than 1 ton. Also, the maximum daily demand for interior paint is 2 tons.
Reddy Mikks wants to determine the optimum (best) product mix of interior and exterior
paints that maximizes the total daily profit.
Decision Variables:
These are unknown variables, what is to be determined? In this instance, the company wants to determine the
number of exterior and interior paints to be produced daily. Variables (letters, most commonly used are x, y and z)
shall denote these unknown variables. Representation should be expressed with complete details (unit, frequency of
production, etc.)
Objective Function:
To construct the objective function, note that the company wants to maximize (i.e. increase as much as possible) the
total daily profit of both paints. Given that the profits per ton of exterior and interior paints are 5 and 4 (thousand)
dollars, respectively, the objective of the company to maximize profit can be represented as:
Subject To:
Next, the constraints of the problem are on the raw material usage and product demand. The restriction of raw
materials can be expressed as usage of raw material by both paints is less than (≤) the maximum raw material
availability. This means that the consumption of the raw materials should be below or equal to its availability.
Referring to the table above, the daily usage of the raw material M1 is 6 tons per ton of exterior paint and 4 tons
per ton of interior paint. Because the daily availability of raw material M1 is limited to 24 tons, the restriction will
be:
6X1 + 4X2 ≤ 24
Also, the daily usage of raw material M2 is 1 per ton of exterior paint and 2 tons per ton of interior paint, with an
availability of 6 tons daily. Hence:
X2 – X1 ≤ 1 or -X1 + X2 ≤ 1
The second demand restriction stipulates that the maximum daily demand of interior paint is limited to 2 tons,
which translates to:
X2 ≤ 2
Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
6X1 + 4X2 ≤ 24
X1 + 2X2 ≤ 6
-X1 + X2 ≤ 1
X2 ≤ 2
X1, X2 ≥ 0
Obice Farms uses at least 800lb of special feed daily. The special feed is a mixture of
corn and soybean meal with the following compositions:
lb per lb of feedstuff
Feedstuff Cost ($/lb)
Protein Fiber
The dietary requirements of the special feed are at least 30% protein and at most 5%
fiber. Obice Farms wishes to determine the daily minimum cost of the feed mix.
Decision Variables:
Because the feed mix consists of corn and soybean meal, the decision variables of the model are defined as:
Objective Function:
Subject To:
The constraints of the model reflect the daily amount needed and the dietary requirements. Because Obice Farms
needs at least 800lb of feed a day, the associated constraint can be expressed as:
X1 + X2 ≥ 800
As for the protein dietary requirement constraint, the amount of protein included in X 1 lb of corn and X2 lb of
soybean meal is (0.09X1 + 0.60X2) This quantity should equal at least 30% of the total feed mix (X 1 + X2) lb, that is:
0.21X1 – 0.30X2 ≤ 0
0.03X1 – 0.01X2 ≥ 0
Having all the constraints considered, non-negativity constraints are added to the model.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
X1 + X2 ≥ 800
0.21X1 – 0.30X2 ≤ 0
0.03X1 – 0.01X2 ≥ 0
X1, X2 ≥ 0
The minimum daily requirement of Vitamin D patients following surgery is 180 units
while the maximum amount of Vitamin B12 that they may receive is 150 units. The hospital
dietician is considering liver and steak for the daily diet.
Each kg of liver cost ₱75, while each kg of steak cost ₱200. One kg of liver yields 1060
units of Vitamin D and 705 of Vitamin B12. One kg of steak yields 1057 units of Vitamin B12
and 53 units of Vitamin D. Find the least cost per diet per patient per day.
Decision Variables:
The vitamin requirements of the surgery patients can be found on the liver and steak to be served. A combination of
these two may be made by the dietician. Hence, our decision variables are the amount of each item to be included
in the diet.
Let: X1 = the amount of liver for the patient’s daily diet requirement
X2 = the amount of steak for the patient’s daily diet requirement
Objective Function:
The objective function can be expressed as the summation of the cost of each item multiplied to the variables
representing them.
Subject To:
A kilogram of liver contains 1060 units and a kilogram of steak yields 53 units of Vitamin D. These shall be equated
to the minimum requirement of the dietician that is 180 units.
Moreover, a kilogram of liver also contains 705 units and a kilogram of steak yields 1057 units of Vitamin B12.
These shall be equated to the maximum requirement that the patients may receive which is 150 units.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
A company produces two products, A and B. The sales volume for A is at least 80% of
the total sales of both A and B. However, the company cannot sell more than 100 units of A
per day. Both products use one raw material, of which the maximum daily availability is 240
lb. The usage rates of the raw material are 2lb per unit of A and 4lb per unit of B. The unit
profit for A and B are $20 and $50, respectively. Determine the optimal product mix of the
company.
Decision Variables:
The problem requires us to determine the number of units of the two products that will give us the best (optimal)
combination.
Objective Function:
Subject To:
When the sales volume of the two products are combined, 80% of that combination should be allocated for product
A. This can be translated to this equation:
0.80(X1 + X2) ≤ X1
Moving all variables to the left-hand side of the equation results to:
-0.20X1 + 0.80X2 ≤ 0
Product A is also restricted to a sales volume of 100 units per day.
X1 ≤ 100
The usage rates of the raw materials for the two products are to be equated to the maximum availability which is
240 lbs. This translates to:
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
-0.20X1 + 0.80X2 ≤ 0
X1 ≤ 100
2X1 + 4X2 ≤ 240
X1, X2 ≥ 0
The Burroughs Garment Company manufactures men shirts and women blouses for
Walmark Discount Stores. Walmark will accept all the production supplied by Burroughs. The
production process includes cutting, sewing and packaging. Burroughs employs 25 workers in
the cutting department, 35 in the sewing department, and 5 in the packaging department. The
factory works one 8-hour shift, only 5 days a week.
The following table gives the time requirements and profits per unit for the two
garments:
Shirts 20 70 12 8.00
Blouses 60 60 4 12.00
Data given are on a weekly basis. Thus, the value of the profit to be generated is:
Objective Function:
The profit per unit of men shirts and women blouses are ₱8 and ₱12, respectively. The objective function for this
problem is written as:
Subject To:
Products undergo through three processes. The duration per unit of the product on each station are given on the
table. In the cutting department, per unit of shirt is processed for 20 minutes and a blouse is processed for 60
minutes. These requirements shall be equated to the total available minutes of the department. The available time
per week will be converted into minutes, for equal degree of measurements from what is given on the table. The
total minutes per week is 2,400 (from the 60 minutes per hour, multiplied by 8 hours per shift, multiplied by 5 shifts
per week) and to be multiplied again to the available number of workers which is 25. This results to the total
available time of 60,000 minutes.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
A small candy shop is preparing for the holiday season. The owner must decide how
many bags of Deluxe Mix and how many bags of Standard Mix of Peanut-Raisin Delite to put
up. The Deluxe Mix has 2/3-pound raisins and 1/3-pound peanuts, and the Standard Mix has
1/2-pound raisins and 1/2-pound peanuts per bag. The shop has 90 pounds of raisins and 60
pounds of peanuts to work with.
Peanuts cost $0.60 per pound and raisins cost $1.50 per pound. The Deluxe Mix will sell
for $2.90 per pound and the Standard mix will sell for $2.55 per pound. The owner estimates
that no more than 110 bags of one type can be sold. If the goal is to maximize profits, how
many bags of each type should be prepared?
Decision Variables:
We must identify the quantity of the Deluxe Mix and Standard Mix bags to be prepared. Thus, the decision variables
are written as follows:
Z = total profit
Objective Function:
The problem requires us to identify the maximum profit from the sales of these products. However, the profit is not
directly given. Selling prices per mix and the cost of the raw materials per pound are indicated.
The profit for the Deluxe Mix is obtained by subtracting the summation of the prices of the raw materials per pound
which are multiplied to their usage, from the selling price. The Deluxe Mix contains 2/3-pound raisins which cost
$1.50 per pound, and 1/3-pound peanuts which cost $0.60 per pound. Solving these results to a raw material cost of
$1.20. To get the profit, $2.90 - $1.20 = 1.70.
Likewise, the profit for the Standard Mix is obtained by also subtracting the summation of the prices of the raw
materials per pound which are multiplied to their usage, from the selling price. The Standard Mix contains 1/2-
pound raisins which cost $1.50 per pound, and 1/2-pound peanuts which cost $0.60 per pound. Solving these
results to a raw material cost of $1.05. To get the profit, $2.55 - $1.05 = 1.50.
Subject To:
There is only 90 pounds of raisins available for production. This is equated to the usage of the raw materials per
type of mix.
2/3X1 + 1/2X2 ≤ 90
60 pounds of peanuts are available for production and is paralleled to the usage for the two holiday mixes.
1/3X1 + 1/2X2 ≤ 60
Additionally, there is also a constraint that the sales of the mix bags are limited to 100.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
2/3X1 + 1/2X2 ≤ 90
1/3X1 + 1/2X2 ≤ 60
X1 ≤ 110
X2 ≤ 110
X1, X2 ≥ 0
Decision Variables:
The soft drink is produced by combining orange soda and orange juice. Thus, our decision variables are expressed
as:
Objective Function:
The cost per ounce of orange soda and orange juice are 2¢ and 3¢, respectively.
Subject To:
Each ounce of soda contains 0.5oz of sugar while there is 0.25oz of sugar per ounce of orange juice. These are to
be equated to the company’s requirement of at most 4oz of sugar per bottle of Oranj.
0.5X1 + 0.25X2 ≤ 4
Each bottle of Oranj must contain at least 20 mg of Vitamin C. This can be obtained from the combination of
orange soda and orange juice which contains 1mg and 3mg, respectively.
X1 + 3X2 ≥ 20
X1 + X2 = 10
Having all the constraints considered, an implicit restriction is that the decision variables (in this case, X 1 and X2
only), cannot assume negative values. The addition of non-negativity constraints accounts for this requirement.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
0.5X1 + 0.25X2 ≤ 4
X1 + 3X2 ≥ 20
X1 + X2 = 10
X1, X2 ≥ 0
An auto company manufactures cars and trucks. Each vehicle must be processed in the
paint shop and body assembly shop. If the paint shop were only painting trucks, 40 trucks per
day could be painted. If the paint shop were only painting cars, 60 cars per day could be
painted. If the body shop were only producing cars, it could process 50 cars per day. If the
body shop were only producing trucks, it could process 50 trucks per day.
Each truck contributes $300 to profit and each car contributes $200 to profit. Use linear
programming to determine the daily production schedule that will maximize the company’s
profits.
Decision Variables:
The problem requires us to identify the number of trucks and cars to be produced on a daily basis. Thus,
Objective Function:
The profit for the trucks and cars that will be manufactured are $300 and $200, respectively.
Subject To:
If the paint shop is only painting trucks, it could paint a total of 40 trucks. If the shop only accommodates cars, it
could process a total of 60 cars. If a combination of these products shall be produced on a single day, there is a
certain fraction of each type to be processed.
1/40X1 + 1/60X2 ≤ 1
The same concept is also applicable in the body shop department.
Non-Negativity Constraint:
X1, X2 ≥ 0
Subject To:
1/40X1 + 1/60X2 ≤ 1
1/50X1 + 1/50X2 ≤ 1
X1, X2 ≥ 0
b. Learning Assessment
Problem 1: Sissy Sweets Supreme has 250 kgs of chocolate-covered strawberries and 210 kgs
of chocolate-covered dried mangoes in stock. The owners, Ara and Karen, decides to sell them
in the form of two different mixtures. One mixture will contain half strawberries and half
mangoes by weight and will sell for ₱199 per kg. The other mixture will contain one-third
strawberries and two-thirds dried mangoes and will sell for ₱225 per kg. How many kg of each
mixture should the owner prepare in order to maximize their company’s sales revenue?
Decision Variables: X1 = The amount of chocolate covered strawberries
to be added in mixture
X2 = 210
Non-negativity Constraint:
Problem 2: Paper Park Ltd. produces three kinds of paper: retro, coated, and fine. Each cargo
of retro paper produces a net revenue of ₱37,500, each cargo of coated paper produces a net
Objective Function:
Subject To:
Non-negativity Constraint:
Problem 3: Unnie Shop is considering social media advertising to boost its sales.
Alternatives are thru Facebook, YouTube and Instagram. The table below shows the costs and
estimates of audience coverage for each type of social media:
Facebook limits the number of daily advertisements to fifteen. Moreover, to balance the
advertising among the three types of media, no more than half of the total number of
advertisements should be displayed on Instagram, and at least 20% should be played on
YouTube. The weekly advertising budget is ₱60,000. How many advertisements should be
displayed in each social media platform to maximize the total audience?
Decision Variables:
Objective Function:
Subject To:
6. POST-TEST
8. REFERENCES
Taha, H. (2009). Operations Research. 8th Edition. New Jersey, Prentice Hall.