Management
Science Tools
Linear Programming
LINEAR PROGRAMMING
is a quantitative technique
used in properly allocating
the resources of a business
to maximize its profit or
minimize cost
Leonid Vitalyevich Kantorovich
Different Approaches to
Linear Programming:
Graphical Method
Simplex Method
Transportation Problem
Assignment problem
Programming
Use of a mathematical model when developing an
equation to solve a problem.
Presence of objective function
The objective of a linear programming problem is either to maximize
profit or minimize cost. It must be expressed in an equality.
Presence of constraints
The constraints or limitations must be expressed in equalities or
inequalities.
Availability of alternatives
The alternative courses of action may favor the selection of one
variable over another or it may involve the mixture of to or more
variables.
Linear Mathematical Relationship
The relationship of the variables in linear programming is
considered linear and can be expressed in equalities or inequalities
ASSUMPTIONS OF LINEAR PROGRAMMING
1) Certainty assumption. The objective function and the constraints will
not change during the period of the study.
2) Proportionality assumption. Proportionality exists among the
variables in the function and constraints.
3) Additivity assumption. There is additivity in the mathematical model.
4) Divisibility assumption. The optimum solution may take the form of
a fraction, not necessarily an integer or a whole number. However, an
integer programming will exist when a fractional form results in
manufacturing a product.
5) Non-negativity assumption. The value of the decision variables
should be positive or zero.
PARTS OF A LINEAR
PROGRAMMING MODEL
OBJECTIVE FUNCTION
- maximization of the profit or minimization of cost
CONSTRAINT
- introduced by the words “subject to”
EXPLICIT CONSTRAINTS
- are limitations that are expressed or stated in the problem
IMPLICIT CONSTRAINTS
- are implied limitations or non-negativity assumptions.
METHODS OF SOLVING A LINEAR PROGRAMMING
PROBLEM
GRAPHICAL METHOD – utilizes a two-dimensional graph to solve
the programming problems
Use letters to represent the unknowns or Graph the constraints. If the lines intersect,
variables in the problem. 01 04 solve for the coordinates of the intersection
point.
If necessary, prepare a simple matrix to Determine the feasible region.
facilitate the formulation of constraints. 02 05
Feasible region – contains all the points in the
graph where the optimum solution can be found.
Formulate the objective function and the Determine the optimum solution.
constraints in equalities and inequalities
03 06
Formulate the decision based on the highest profit or
07 lower cost
ILLUSTRATION 1
Jenny Furniture Shop produces two types of tables, an elegant table
and an ordinary table. The table whether elegant or ordinary,
passes through two departments, namely, the assembly department
and finishing department. Each elegant table requires 8 hours of
assembly work and 4 hours of finishing tasks. Each ordinary table
requires 6 hours in the assembly department and 2 hours in the
finishing department. Every production period, the shop has 480
hours of assembly hours and 200 hours of finishing time. The
elegant table contributes P700 to the company’s profit, while the
ordinary table has a profit of P500.
Required: Using the graphical method of linear programming,
determine the number of units needed to be produced to maximize
profits.
ILLUSTRATION 2
To operate the newly imported state-of-the-art machinery recently purchased
by ABC Company, two types of fuels are needed, namely, Fuel A and Fuel B.
The machine specifications and requirements shows that for every one hour of
production time, each gallon of Fuel A emits 6 units of chemical gas and
generates a mechanical energy equivalent to 8 horsepower. This costs
Php320.00. In a similar manner, each gallon of Fuel B emits 10 units of chemical
gas and generates 8 horsepower of mechanical energy. This costs Php300.00.
The maximum number of units of such type of chemical gas allowed by the
government to be emitted by such type of machinery is 30 units. The operating
activities of the company require at least 32 horsepower of mechanical energy
per hour.
Required: Using the graphical method, determine the number of gallons of
Fuel A and Fuel B that are needed to operate the machine at the lowest
possible cost.
THANK YOU!
