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Lec 2 - Modeling With LP

This document summarizes the key components of linear programming (LP) models and provides examples of LP applications. LP models consist of decision variables, an objective function to optimize, and constraints. The document provides an example LP model for production planning that maximizes profit given material amounts, product demands, and a constraint on product mix. Additional applications discussed include investment planning, production scheduling, and transportation problems. Solving LP models graphically and with optimization solvers is also briefly covered.

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Ifeanyi Snyders
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55 views11 pages

Lec 2 - Modeling With LP

This document summarizes the key components of linear programming (LP) models and provides examples of LP applications. LP models consist of decision variables, an objective function to optimize, and constraints. The document provides an example LP model for production planning that maximizes profit given material amounts, product demands, and a constraint on product mix. Additional applications discussed include investment planning, production scheduling, and transportation problems. Solving LP models graphically and with optimization solvers is also briefly covered.

Uploaded by

Ifeanyi Snyders
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Modeling with Linear Programming (LP)

(Chapter 2)

Dr GJ Oyewole
School of Mechanical, Industrial and Aeronautical Engineering
University of the Witwatersrand 1
All OR models, LP included, consist of three basic components:

1. Decision variables that we seek to determine.


2. Objective (goal) that we need to optimize (maximize or minimize)
3. Constraints that the solution must satisfy

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Example 2.1-1 ( source Taha)
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. 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.:

First, Identify the decision variables ( this is critical)


Move to the goals
Then list out the constraints ( ensuring the decision variables are factored in)
3
Model Formulation

What are these expression


termed ?
What do you
notice about the
algebraic
expressions
based on
variables and
What do these inequalities coefficients?
mean?

• What is/ are feasible and infeasible solutions?


Can you give examples
• What is an optimal solution?
• Can the search for the optimum be
obtained by enumeration? 4
Graphical LP Solution
• Determine the feasible solution space
• Determine the optimum Solution

Figure 2.1 Feasible space of the Reddy Mikks model Figure 2.2 Optimum solution of the Reddy Mikks
( Source : Taha) model ( Source : Taha)
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Points to Note with regard to LP Problems

The optimum solution of an LP is always associated with finite corner points


with several (infinite) feasible points within the solution space

See section 2.2.2 for the minimization problem ( Diet Problem)

 We can also obtain solution to this problem using Solver and AMPL ( we will
revisit this)

 A 2 variable LP problem might be the simplest you will ever solve in the real
world!

6
Linear Programming Application ( Section 2.4)
• Investment.
• Production planning and inventory control.
• Workforce planning.
• Urban development planning.
• Oil refining and blending.

The goal is to revise the modeling and solution while trying to identify the components of the OR
models.

These are more realistic problems compared to the 2 variable LP-problems

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Production planning and inventory control.
• Single-Period Production Model ( Example 2.4-2)
In preparation for the winter season, a clothing company is manufacturing parka and
goose overcoats, insulated pants, and gloves. All products are manufactured in four
different departments: cutting, insulating, sewing, and packaging. The company has
received firm orders for its products. The contract stipulates a penalty for undelivered
items. Devise an optimal production plan for the company based on the following data

Decision variables?
Goals?
e Constraints?

What should you first find out?


What should be next?
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Decision variables :

S1 , S2 , S3 ,
S4 ⇒
𝑎𝑎𝑎𝑎𝑎𝑎𝑎𝑎𝑎𝑎𝑎𝑎 𝑜𝑜𝑜𝑜 𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜𝑜 𝑛𝑛𝑛𝑛𝑛𝑛 𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓𝑓 𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟𝑟
Objective Function :
Net Profit = Total Profit – Total Penalty
Penalty
Profits calculation

Penalty
calculation
Constraints :
Subject to :

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• Multiple-Period Production Model ( Example 2.4-3)
Acme Manufacturing Company has a contract to deliver 100, 250, 190, 140, 220, and 110 home
windows over the next 6 months. Production cost (labor, material, and utilities) per window varies
by period and is estimated to be $50, $45, $55, $48, $52, and $50 over the next 6 months. To take
advantage of the fluctuations in manufacturing cost, Acme can produce more windows than needed
in a given month and hold the extra units for delivery in later months. This will incur a storage cost
at the rate of $8 per window per month, assessed on end-of-month inventory. Develop a linear
program to determine the optimum production schedule.

10
• BUS Scheduling Model ( revise)

• Dirty your hand with these Problems: 2-1,2-5,2-6,2-13,2-15, 2-19,2-


31,2-43,2-53,2-62,2-68,2-75,2-80,2-84

• For certain problems you only need to correctly formulate and wait
till we discuss the Ms Excel solver and AMPL solution technique.

• Tutors can assist

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