Linear

Linear Programming
Programming
Models
Models

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 2.1 Introduction to Linear Programming
• A Linear Programming model seeks to maximize or
minimize a linear function, subject to a set of linear
constraints.
• The linear model consists of the following
components:
– A set of decision variables.
– An objective function.
– A set of constraints.

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 Introduction to Linear Programming
• The Importance of Linear Programming
– Many real world problems lend themselves to linear
programming modeling.
– Many real world problems can be approximated by linear models.
– There are well-known successful applications in:
• Manufacturing
• Marketing
• Finance (investment)
• Advertising
• Agriculture

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 Introduction to Linear Programming
• The Importance of Linear Programming
– There are efficient solution techniques that solve linear
programming models.
– The output generated from linear programming packages
provides useful “what if” analysis.

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 Introduction to Linear Programming
• Assumptions of the linear programming model
– The parameter values are known with certainty.
– The objective function and constraints exhibit
constant returns to scale.
– There are no interactions between the decision
variables (the additivity assumption).
– The Continuity assumption: Variables can take on
any value within a given feasible range.

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The Galaxy Industries Production Problem –
A Prototype Example

• Galaxy manufactures two toy doll models:

– Space Ray.
– Zapper.
• Resources are limited to
– 1000 pounds of special plastic.
– 40 hours of production time per week.

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The Galaxy Industries Production Problem –
A Prototype Example
• Marketing requirement
– Total production cannot exceed 700 dozens.
– Number of dozens of Space Rays cannot exceed
number of dozens of Zappers by more than 350.
• Technological input
– Space Rays requires 2 pounds of plastic and
3 minutes of labor per dozen.
– Zappers requires 1 pound of plastic and
4 minutes of labor per dozen. 7
The Galaxy Industries Production Problem –
A Prototype Example
• The current production plan calls for:
– Producing as much as possible of the more profitable product,
Space Ray ($8 profit per dozen).
– Use resources left over to produce Zappers ($5 profit
per dozen), while remaining within the marketing guidelines.
• The current production plan consists of:
Space Rays = 450 dozen 8(450) + 5(100)
Zapper = 100 dozen
Profit = $4100 per week
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Management is seeking a
production schedule that will
increase the company’s profit.

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A linear programming model
can provide an insight and an
intelligent solution to this problem.

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 The Galaxy Linear Programming Model

• Decisions variables:
– X1 = Weekly production level of Space Rays (in dozens)
– X2 = Weekly production level of Zappers (in dozens).

• Objective Function:
– Weekly profit, to be maximized

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The Galaxy Linear Programming Model

Max 8X1 + 5X2 (Weekly profit)

subject to
2X1 + 1X2  1000 (Plastic)
3X1 + 4X2  2400 (Production Time)
X1 + X2  700 (Total production)
X1 - X2  350 (Mix)
Xj> = 0, j = 1,2 (Nonnegativity)
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2.3 The Graphical Analysis of Linear
Programming

The set of all points that satisfy all the

constraints of the model is called
a

FEASIBLE REGION

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Using a graphical presentation
we can represent all the constraints,
the objective function, and the three
types of feasible points.

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Graphical Analysis – the Feasible Region
X2

The non-negativity constraints

X1

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 Graphical Analysis – the Feasible Region
X2

1000 The Plastic constraint

2X1+X2  1000
700 Total production constraint:
X1+X2  700 (redundant)
500

Infeasible
Production Feasible
Time
3X1+4X2  2400 X1
500 700

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 Graphical Analysis – the Feasible Region
X2
1000 The Plastic constraint
2X1+X2 1000
700 Total production constraint:
X1+X2 700 (redundant)
500
Infeasible
Production mix
constraint:
Production Feasible X1-X2  350
Time
3X1+4X22400
X1
500 700
Interior points. Boundary points. Extreme points.
• There are three types of feasible points 17
Solving Graphically for an
Optimal Solution

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 The search for an optimal solution
X2 Start at some arbitrary profit, say profit = $2,000...
1000 Then increase the profit, if possible...
...and continue until it becomes infeasible

700 Profit =$4360

500

X1
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500
 Summary of the optimal solution
Space Rays = 320 dozen
Zappers = 360 dozen
Profit = $4360
– This solution utilizes all the plastic and all the production hours.

– Total production is only 680 (not 700).

– Space Rays production exceeds Zappers production by only 40

dozens.

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