Linear Programming and Graphic Solution of LP Problems
Linear Programming and Graphic Solution of LP Problems
1. Reality: Linear programming is only effective if the model you use reflects the real
world. For instance, doubling the production will triple the sales, but in reality, it
saturates the market. Parametrics appearing in the models are assumed to be constant
but in real-life situations, they are neither known nor constant.
2. Modeling: To use linear programming, you must convert your problem into a
mathematical model.
3. Inflexibility: Some situations have too many possibilities to fit into a linear programming
formula. For example parameters like human behavior, weather conditions, the stress of
employees, demotivated employees cant be taken into account which can adversely
change and affect the organization. LP models don’t take into consideration all internal
and external factors which can be incorporated.
4. Linearity: Some decision variables have a non-linear effect. If you double your budget
for a business start-up, for example, that doesn't mean your first-year profits or
expenses will double as well. Efficiencies of scale also often do not relate to linear
effects.
The Components of LP Models
Decision variables depict the quantities that decision-makers determine. They are the
unknowns of a mathematical programming model. For example, the number of
firetrucks sent to extinguish a fire may vary depending on the size of the fire so the
decision-maker should do an estimation.
Objective Function is the value that you want to optimize whether it is maximized or
minimized. It is in the form of z = ax + by
A constraint is an equality or inequality defining restrictions on decisions. Such as labor,
space, and money.
Non-negativity means that all decision variables must have values equal to or greater
than zero. X ≥ 0