Operations Research

LECTURER: GUNEL IMANOVA

INTRODUCTION TO LINEAR PROGRAMMING
Introduction to Linear Programming

 Linear Programming is a special and adaptable technique which can be applied to a

variety of management problems such as Advertising, Distribution, Investment,
Production, Refinery Operations, and Transportation analysis. The linear
programming is useful not only in industry and business but also in non-profit
sectors such as Education, Government, Hospital, and Libraries.
 Linear programming (LP) refers to a family of mathematical optimization techniques
that have proved effective in solving resource allocation problems, particularly
those found in industrial production systems. Linear programming methods are
algebraic techniques based on a series of equations or inequalities that limit a
problem and are used to optimize a mathematical expression called an objective
function. The objective function and the constraints placed upon the problem must
be deterministic and able to be expressed in linear form. These restrictions limit
the number of problems that can be handled directly, but since the introduction of
linear programming in the late 1940s, much progress has been made to adapt the
method to more complex problems.
Introduction to Linear Programming

 The linear programming method is applicable in problems characterized by

the presence of decision variables. The objective function and the constraints
can be expressed as linear functions of the decision variables. The decision
variables represent quantities that are, in some sense, controllable inputs to
the system being modeled. An objective function represents some principal
objective criterion or goal that measures the effectiveness of the system such
as maximizing profits or productivity, or minimizing cost or consumption.
There is always some practical limitation on the availability of resources such
as man, material, machine, or time for the system. These constraints are
expressed as linear equations involving the decision variables. Solving a
linear programming problem means determining actual values of the
decision variables that optimize the objective function subject to the
limitation imposed by the constraints.
Introduction to Linear Programming

 Since linear programming is probably the most widely used

mathematical optimization technique, numerous computer programs are
available for solving LP problems. For example, LP techniques are now used
routinely for such problems as oil and chemical refinery blending, choosing
vendors or suppliers for large, multiplant manufacturing corporations,
determining shipping routes and schedules, and managing and maintaining
truck fleets.
Introduction to Linear Programming

 The main important feature of linear programming model is the presence of

linearity in the problem. The use of linear programming model arises in a
wide variety of applications. Some model may not be strictly linear, but can
be made linear by applying appropriate mathematical transformations. Still
some applications are not at all linear, but can be effectively approximated
by linear models. The ease with which linear programming models can usually
be solved makes an attractive means of dealing with otherwise
intractable/hard nonlinear models.
 LIMITATIONS OF LINEAR PROGRAMMING MODEL

 It is applicable to only static situations since it does not take into account the effect of
time. The OR team must define the objective function and constraints which can change
due to internal as well as external forces.
 It assumes that the values of the coefficients of decision variables in the objective
function as well in all the constraints are known with certainty. Since in most of the
business situations, the decision variable coefficients are known only probabilistically, it
cannot be applied to such situations.
 In some situations it is not possible to express both the objective function and
constraints in linear form. For example, in production planning we often have non-linear
constraints on production capacities like setup and takedown times which are often
independent of the quantities produced. The misapplication of LP under non-linear
conditions usually result in an incorrect solution.
 Linear programming deals with problems that have a single objective. Real life problems
may involve multiple and even conflicting objectives. One has to apply goal programming
under such situations.
LIMITATIONS OF LINEAR PROGRAMMING MODEL

 When comparison is made between the advantages and

disadvantages/limitations of LP, its advantages clearly overweigh its
limitations. It must be clearly understood that LP techniques, like other
mathematical tools only help the manager to take better decisions; they are
in no way a substitute for the manager.
EXAMPLES OF SUCCESSFUL LP APPLICATION

 Scheduling school buses to minimize total distance travelled

 Allocating police patrols to high crime areas to minimize response time
 Scheduling tellers at banks to minimize total cost of labor
 Blending raw materials in feed mills to maximize profit while producing animal feed
 Selecting the product mix in a factory to make best use of available machine-hours
and labor-hours available while maximizing profit
 Allocating space for tenants in a shopping mall to maximize revenues to the leasing
company
 Crew scheduling problems
 Network flow models
 Pollution control and removal
 Estimation techniques
CHARACTERISTICS OF LINEAR PROGRAMMING

a) Deterministic (no probabilities)

b) Single Objective: maximize or minimize some quantity (the objective
function)
c) Continuous decision variables (unknowns to be determined)
d) Constraints limit ability to achieve objectives
e) Objectives and constraints must be expressed as linear equations or
inequalities
SOLVING LP PROBLEMS

 In 1947 George Dantzig developed the simplex method of LP. Dantzig’s

simplex method was probably the beginning of the development of the
present – day field of mathematical programming. The graphical solution
approach conceptually demonstrates the process of LP solutions to those who
have no experience with LP. Graphical solutions are therefore intended as a
teaching tool to assist you in understanding the process of LP solutions. The
simplex, transportation, and assignment methods are the practical LP solution
tools. Although use of the simplex method by hand to solve LPs is error prone,
enough standard LP computer programs are available for this task that real LP
problems are always solved on computers. Several computer programs are
available to solve LP problems.
Linear Programming Problem
Formulation-Maximization
 The linear programming problem formulation is illustrated through a product
mix problem. The product mix problem occurs in an industry where it is
possible to manufacture a variety of products. A product has a certain margin
of profit per unit, and uses a common pool of limited resources. In this case
the linear programming technique identifies the products combination which
will maximize the profit subject to the availability of limited resource
constraints.
Summary

 In Operations Research linear programming is a adaptable technique with

wide applications in various management problems. Linear Programming
problem has a number of characteristics. That is first we have to identify the
decision variable. The problem must have a well defined objective function,
which are expressed in terms of the decision variables. The objective function
may have to be maximized when it indicates the profit or production or
contribution. If the objective function represents cost, in this case the
objective function has to be minimized. The management problem is
expressed in terms of the decision variables with the objective function and
constraints. A linear programming problem is solved graphically if it contains
only two variables.
 Key Terms
 Objective Function: is a linear function of the decision variables representing the
objective of the manager/decision maker.
 Constraints: are the linear equations or inequalities arising out of practical limitations.
 Decision Variables: are some physical quantities whose values indicate the solution.
 Feasible Solution: is a solution which satisfies all the constraints (including the non-
negative) presents in the problem.
 Infeasible solution is a solution for which at least one constraint is not satisfied.
 Unbounded Solution: is a solution whose objective function is infinite.
 Feasible Region: is the collection of feasible solutions.
 Solution – Any specification of the values for decision variable among (x1, x2,…, xn) is
called a solution.