Optimization Techniques: Case Study (Walsh'S Juice Company)
Optimization Techniques: Case Study (Walsh'S Juice Company)
TECHNIQUES
CASE STUDY (WALSH’S JUICE
COMPANY)
GROUP : 03
PRESENTED TO: PRESENTED BY:
Dr. Salman Habib
Muhammad Abdullah 2020-IM-13
Jawad Ahmad Maqsood 2020-IM-18
Muhammad Ali Nawaz 2020-IM-33
CONTENT
Walsh’s Juice Company
Constraints Model
Constraints
Transportation Model
Objective Function
Constraints
Solution
2
WALSH’S JUICE COMPANY
Walsh’s Juice Company produces three products from unprocessed grape
juice—bottled juice, frozen juice concentrate, and jelly. It purchases
grape juice from three vineyards near the Great Lakes. The grapes are
harvested at the vineyards and immediately converted into juice at plants
at the vineyard sites and stored there in refrigerated tanks. The juice is
then transported to four different plants in Virginia, Michigan,
Tennessee, and Indiana, where it is processed into bottled grape juice,
frozen juice concentrate, and jelly. Vineyard output typically differs each
month in the harvesting season, and the plants have different processing
capacities
3
WALSH’S JUICE COMPANY
In a particular month the vineyard in New York has 1,400 tons of unprocessed
grape juice available, whereas the vineyard in Ohio has 1,700 tons and the
vineyard in Pennsylvania has 1,100 tons. The processing capacity per month
is 1,200 tons of unprocessed juice at the plant in Virginia, 1,100 tons of juice
at the plant in Michigan, 1,400 tons at the plant in Tennessee, and 1,400 tons
at the plant in Indiana. The cost per ton of transporting unprocessed juice from
the vineyards to the plant is as follows:
4
WALSH’S JUICE COMPANY
The plants are different ages, have different equipment, and have different wage rates;
thus, the cost of processing each product at each plant ($/ton) differs, as follows:
This month the company needs to process a total of 1,200 tons of bottled juice, 900 tons of
frozen concentrate, and 700 tons of jelly at the four plants combined. However, the
production process for frozen concentrate results in some juice dehydration, and the
process for jelly includes a cooking stage that evaporates water content. To process 1 ton of
frozen concentrate requires 2 tons of unprocessed juice; 1 ton of jelly requires 1.5 tons of
unprocessed juice; and 1 ton of bottled juice requires 1 ton of unprocessed juice.
5
WALSH’S JUICE COMPANY
Walsh’s management wants to determine how many tons of grape juice to ship
from each of the vineyards to each of the plants and the number of tons of
each product to process at each plant. Thus, management needs a model that
includes both the logistical aspects of this problem and the production
processing aspects. It wants a solution that will minimize total costs, including
the cost of transporting grape juice from the vineyards to the plants and the
product processing costs. Help Walsh’s solve this problem by formulating a
linear programming model and solve it by using the computer.
6
WALSH’S JUICE COMPANY
Walsh’s Juice Company is a juice company
that produces and processes juice and jelly.
The industry in which they operate are
Agriculture and Food Processing.
7
CONSTRAINTS MODEL
1 2
3 a
b c d
x y
z 8
CONSTRAINTS
9
TRANSPORTATION MODEL
a
VIRGINIA
1 NEW YORK JUICE x
b
MICHIGAN
2 OHIO CONCENTRATE y
c
TENNESSE
PENNSYLVAI
3 A d
JELLY z
INDIANA
10
VINYARD PLANT PRODUCTS
11
OBJECTIVE FUNCTION
Minimize
Z=850X1a + 720X1b + 910X1c + 750X1d + 970X2a +
790X2b + 1050X2c + 880X2d + 900X3a + 830X3b +
780X3c + 820X3d + 2100Xxa + 2350Xxb + 2200Xxc
+ 1900Xxd + 4500Xya + 4300Xyb + 3950Xyc +
3900Xyd + 2600Xza + 2300Xzb + 2500Xzc +
2800Xzd;
12
CONSTRAINTS
X1a+X1b+X1c+X1d<=1400;
X3a+X3b+X3c+X3d<=1700;
X2a+X2b+X2c+X2d<=1100;
13
CONSTRAINTS
Xxa+Xya+Xza<=1200;
Xxb+Xyb+Xzb<=1100;
Xxc+Xyc+Xzc<=1400;
Xxd+Xyd+Xzd<=1400;
14
CONSTRAINTS
Xxa+Xxb+Xxc+Xxd=1200;
Xya+Xyb+Xyc+Xyd=900;
Xza+Xzb+Xzc+Xzd=700;
15
CONSTRAINTS
Xxa+2Xya+1.5Xza=X1a+X2a+X3a;
Xxb+2Xyb+1.5Xzb=X1b+X2b+X3b;
Xxc+2Xyc+1.5Xzc=X1c+X2c+X3c;
Xxd+2Xyd+1.5Xzd=X1d+X2d+X3d;
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CONSTRAINTS
X1a>=0; Xxa>=0;
X1b>=0; Xxb>=0;
X1c>=0; Xxc>=0;
X1d>=0; Xxd>=0;
X2a>=0; Xya>=0;
X2b>=0; Xyb>=0;
X2c>=0; Xyc>=0;
X2d>=0; Xyd>=0;
X3a>=0; Xza>=0;
X3b>=0; Xzb>=0;
X3c>=0; Xzc>=0;
X3d>=0; Xzd>=0; 17
SOLUTION Objective Value
10566000
19