M C S D 11 3 3 O p e r a t i o n s R e s e a r c h & O p t i m i z a t i o n

CHAPTER 2 (Part 1):

LINEAR PROGRAMMING -
BASIC

[email protected](S1)

UTM JOHOR BAHRU

 LINEAR PROGRAMMING (LP)

• In mathematics, linear programming (LP) is a

technique for optimization of a linear objective
function, subject to linear equality and linear
inequality constraints.

• Linear programming determines the way to

achieve the best outcome (such as maximum
profit or lowest cost) in each mathematical model
and given some list of requirements represented
as linear equations.

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Mathematical Formulation of LP Model

Step 1
§ Study the given situation
§ Find the key decision to be made
§ Identify the decision variables of the problem
Step 2
§ Formulate the objective function to be optimized
Step 3
§ Formulate the constraints of the problem
Step 4
§ Add non-negativity restrictions or constraints.
§ The objective function, the set of constraints and the non-
negativity restrictions together form an LP model.

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 Properties of LP Model

Linearity implies that the LP must satisfy three basic properties:

1) Proportionality
Contribution of each decision variable in both the objective function and constraints to be directly
proportional to the value of the variable.
2) Additivity
Total contribution of all the variables in the objective function and in the constraints to be the direct sum of the
individual contributions of each variable.
3) Certainty
All the objective and constraint coefficients of the LP model are deterministic (known constants).
LP coefficients are average-value approximations of the probabilistic distributions. If standard deviations of
these distributions are sufficiently small, then the approximation is acceptable.
Large standard deviations can be accounted for directly by using stochastic LP algorithms or indirectly by
applying sensitivity analysis to the optimum solution.

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Linear Programming: Two Variables
EXAMPLE 1: THE GALAXY INDUSTRY PRODUCTION
• Galaxy manufactures two toy models:
i. Space Ray.
ii. Zapper.
• Resources are limited to:
i. 1200 pounds of special plastic.
ii. 40 hours of production time per week.
• Marketing requirement:
i. Total production cannot exceed 800 dozens.
ii. Number of dozens of Space Rays cannot exceed number of dozens of Zappers by more than 450.
• Technological input:
i. Space Rays requires 2 pounds of plastic and 3 minutes of labor per dozen.
ii. Zappers requires 1 pound of plastic and 4 minutes of labor per dozen.
• Current production plan calls for:
i. Producing as much as possible of the more profitable product, Space Ray (RM8 profit per dozen).
ii. Use resources left over to produce Zappers (RM5 profit per dozen).

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Linear Programming: Two Variables
EXAMPLE 1 - Solution
§ Decisions variables:

• X1 = Production level of Space Rays (in dozens per week).

• X2 = Production level of Zappers (in dozens per week).

§ Objective Function:

• Maximize Z= 8X1 + 5X2 (Weekly profit) - Weekly profit, to be maximized.

§ Subject to:
• 2X1 + X2 < = 1200 (Plastic)
• 3X1 + 4X2 < = 2400 (Production Time)
• X1 + X2 < = 800 (Total production)
• X1 - X2 < = 450 (Mix)
§ Add non-negativity:
X1 > = 0; X2 > = 0

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Exercise #1
The Alex Garment Company manufactures men’s shirts and women’s blouses. The
production process includes cutting, sewing, and packaging. The company employs
25 workers in the cutting department, 35 in the sewing department, and 5 in the
packaging department. The factory works one 8-hrs shift, 5 days a week. The
following table gives the time requirements and profits per unit to produce the two
garments. Formulate the problem to determine the optimal weekly production
schedule for Alex Garment Company.

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Feasible Solutions for Linear Programming

• The set of all points that satisfy all the constraints of

the model is called Feasible Region.

• Otherwise, the solution is infeasible.

Figure - Example
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 Graphical Presentation

§ Using a graphical presentation, we can represent all the constraints,

the objective function, and the three types of feasible points.
§ The graphical solution includes two steps:
1. Determination of the feasible solution space.
2. Determination of the optimum solution from among all the points
in the solution space.

Figure - Example 9
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EXAMPLE 1: THE GALAXY INDUSTRY PRODUCTION

X2

1200
2X1+X2<=1200 (plastic)
The Plastic constraint
800 X1+X2 <= 800 (Total production)

600 Infeasible

X1-X2 <= 450 (Production mix)

3X1+ 4X2<=2400 (Production Time)
Feasible

600 800 X1
400

Find the coordinates for all the 4 equations of the restrictions (only take the equality sign)

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Type of Possible Points

Extreme point:

Interior point: Boundary points: Satisfies all constraints, two

with equality. If a linear
Satisfies all constraint but Satisfies all constraints, at
programming has an
non with equality. least one with equality.
optimal solution , an extreme
point is optimal.

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EXAMPLE 1: THE GALAXY INDUSTRY PRODUCTION

X2

1200
2X1+X2<=1200 (plastic)
The Plastic constraint
800 X1+X2 <= 800 (Total production)

600 Infeasible

(550,100) X1-X2 <= 450 (Production mix)

3X1+ 4X2<=2400 (Production Time) (200, 200) *
*
(300,0)
*
600 800 X1
400

Extreme
Interior
Boundary point
point
point
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Solving Graphically for an Optimal Solution: Procedure

1. Graph the constraint to find the feasible point.

2. Set objective function equal to an arbitrary value so that
line passes through the feasible region.
3. Move the objective function line parallel to itself until it
touches the last point of the feasible region .
4. Solve for X1 and X2 by solving the two equation that intersect
to determine this point.
5. Substitute these value into objective function to determine
its optimal solution.

Note: The optimum solution of an LP, when it exists, is always associated with a corner
point of the solution space

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Solving Graphically for an Optimal Solution: Procedure
Start at some arbitrary profit, say profit = $2,000...
X2 Then increase the profit, if possible...
1200
...and continue until it becomes infeasible

ion
eg
le R
800 sib
e fea
l th
600
cal
Re

To determine the value for X1 X1

and X2 at the optimal point,
the two equations of the 400 600 800
binding constraint must be
solved.
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Solving Graphically for an Optimal Solution: Procedure

2X1+X2<=1200 (plastic)

2X1+X2=1200
3X1+4X2=2400 X1= 480
X2= 240

3X1+ 4X2<=2400 (Production Time)

X1-X2 <= 450 (Production mix)

2X1+X2=1200 X1 = 550
X1-X2=450 X2 = 100
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Solving Graphically for an Optimal Solution: Procedure

2X1+X2<=1200 (plastic)

A (0,600)

B (480,240)

3X1+ 4X2<=2400 (Production Time)

X1-X2 <= 450 (Production mix)

E(0,0) D(450,0)
C (550,100)

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Corner Point Method

By compensation on:
Max, Z = 8X1 + 5X2
(X1, X2) Objective function
(0,0) 0
(450,0) 3600
(480,240) 5040
(550,100) 4900
(0,600) 3000

The maximum profit (5040) will be by producing:

Space Rays = 480 dozens, Zappers = 240 dozens

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 Corner Point Method
EXAMPLE 2: THE REDDY MIKKS COMPANY
• Reddy Mikks produces both interior and exterior paints from two raw materials M1 and
M2. The following table provide the basic data of the problem:

Tons of raw material per ton of

Maximum daily
Exterior paint Interior paint
availability(tons)
Raw material, M1 6 4 24
Raw material, M2 1 2 6
Profit per ton ($1000) 5 4

• The market survey restrict that maximum daily demand of interior paint is 2 tons.
• Daily demand for interior paint cannot exceed that of exterior paint by more than 1 ton.
• Reddy Mikks wants to determine the optimum product mix of interior and exterior
paints that maximizes the total daily profit.

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 Corner Point Method
EXAMPLE 2 - Solution
Variables:
X1 = tons produced daily of exterior paint
X2 = tons produced daily of interior paint
Z = total daily profit (in thousands of dollars)

Objective: Maximize, Z = 5X1 + 4X2

Conditions:
• Usage of a raw material by both paints < Maximum raw material availability
• Usage of raw material M1 per day = 6X1 + 4X2 tons
• Usage of raw material M2 per day = X1 + 2X2 tons
• Daily availability of raw material M1 is 24 tons
• Daily availability of raw material M2 is 6 tons

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)

Constraints:

1. 6𝑋! + 4𝑋" ≤ 24 (raw material M1)

2. 6𝑋! + 2𝑋" ≤ 6 (raw material M2)
3. 𝑋" − 𝑋! ≤ 1
4. 𝑋" ≤ 2
5. 𝑋! ≥ 0; 𝑋" ≥ 0

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)
Graphical Representation - Feasible Solution

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)

§ To find optimum solution, identify the direction in which the maximum profit increases (Profit, Z
= 5X1 + 4X2)

§ Assign random increasing values to Z. Example: Z = 10 and Z = 15

5X1 + 4X2 = 10

5X1 + 4X2 = 15

§ Plot graphs of above two equations.

§ Thus in this way the optimum solution occurs at corner

point C which is the point in the solution space.

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)

§ Any further increase in Z that is beyond corner point C will put points outside the boundaries
of ABCDEF feasible space.
§ Values of X1 and X2 associated with optimum corner point C are determined by solving the
equations:
6X1 + 4X2 = 24 …(eq. 1)
X1 + 2X2 = 6 …(eq. 2)
§ Solving the above equations give X1 = 3 and X2 = 1.5 with Z = 5(3) + 4(1.5) = 21
§ So daily production mix of 3 tons of exterior paint and 1.5 tons of interior paint produces the
daily profit of $21,000 .

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)

Optimal Solution

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 Corner Point Method
EXAMPLE 2 – Solution (cont’d)

Since optimum LP solution is always associated with a corner point of the solution space, so
optimum solution can be found by enumerating all the corner points as below:-

Corner Points (X1, X2) Z ($1000)

A (0, 0) 0
B (4, 0) 20
C (3, 1.5) 21

D (2, 2) 18
E (1, 0) 13
F (0, 1) 4

As number of constraints and variables increases , the number of corner points also
increases.

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LP - Minimization Model
EXAMPLE 1:
A firm has two bottling plant. One plant located at Coimbatore and other plant located at
Chennai. Each plant produces three types of drinks; Coca-Cola , Fanta and Thumps-up. The
following table show the data.

Number of bottles produced per day by plant at

Product Coimbatore Chennai

Coca-Cola 15000 15000
Fanta 30000 10000
Thumps-Up 20000 50000

Cost per day (per 600 400

unit)

Market survey indicates that during the month of April there will be a demand of 200,000 bottles of Coca-cola ,
400,000 bottles of Fanta and 440,000 bottles of Thumps-up. For how many days each plant be run in April to
minimize the production cost, while still meeting the market demand?
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LP - Minimization Model
EXAMPLE 1 - Solution
Let, X1 = number of days to produce all the three types of bottles by plant at Coimbatore.
X2 = number of days to produce all the three types of bottles by plant at Chennai.

Objective:
Minimize Z = 600X1 + 400X2
Constraint:
15,000X1 + 15,000X2 > 200,000 …(1)
30,000X1 + 10,000X2 > 400,000 …(2)
20,000X1 + 50,000X2 > 440,000 …(3)
X1 > 0 …(4)
X2 > 0 …(5)

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LP - Minimization Model
EXAMPLE 1 – Solution (cont’d)

Graphical Representation - Feasible Solution

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LP - Minimization Model
EXAMPLE 2 – Solution (cont’d)

Use a corner point method to find the optimum solution.

Minimize Z = 600X1 + 400X2

Corner Points (X1, X2) Z

A (10, 40) 16000

B (12, 4) 8800
C (22, 0) 13200

§ In 12 days, all the three types of bottles (Coca-Cola, Fanta, Thumps-up) are produced
by plant at Coimbatore.
§ In 4 days all the three types of bottles (Coca-Cola, Fanta, Thumps-up) are produced by
plant at Chennai.
§ So minimum production cost is 8800 units to meet the market demand of all the three
types of bottles (Coca-Cola, Fanta, Thumps-up) to be produced in April.

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Exercise #2
(Continue from Exercise #1)
The Alex Garment Company manufactures men’s shirts and women’s blouses. The
production process includes cutting, sewing, and packaging. The company employs
25 workers in the cutting department, 35 in the sewing department, and 5 in the
packaging department. The factory works one 8-hr shift, 5 days a week. The following
table gives the time requirements and profits per unit to produce the two garments.
Determine the optimal weekly production schedule for Alex Garment Company.

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Exercise #2

In Hamid grocery store, shelf space is limited and must be used effectively to increase
profit. Two cereal items, Grano and Wheatie, compete for a total shelf space of 60 ft2 . A
box of Grano occupies 0.2 ft2 and a box of Wheatie needs 0.4 ft2 . The maximum daily
demands of Grano and Wheatie are 200 and 120 boxes, respectively. A box of Grano
nets $1.00 in profit and a box of Wheatie $1.35. Hamid thinks that because the unit profit
of Wheatie is 35% higher than that of Grano, Wheatie should be allocated 35% more
space than Grano, which amounts to allocating about 57% to Wheatie and 43% to
Grano. What do you think?

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