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  • 5/28/2018 2 Linear Programming

    1/18

    2008 Prentice-Hall, Inc.

    Chapter 7

    To accompanyQuant i tat ive Analysis for Management, Tenth Edit io n,

    by Render, Stair, and HannaPower Point slides created by Jeff Heyl

    Linear Prog ramm ing Models:Graph ical and Compu ter

    Methods

    2009 Prentice-Hall, Inc.

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    2/18 2009 Prentice-Hall, Inc. 72

    In t roduct ion

    Many management decisions involve trying tomake the most effective use of limited resources Machinery, labor, money, time, warehouse space, raw

    materials

    Linear programm ing(LP) is a widely usedmathematical modeling technique designed tohelp managers in planning and decision makingrelative to resource allocation

    Belongs to the broader field of mathematicalprogramming

    In this sense, programmingrefers to modeling andsolving a problem mathematically

  • 5/28/2018 2 Linear Programming

    3/18 2009 Prentice-Hall, Inc. 73

    Requ irements of a Linear

    Programm ing Problem

    LP has been applied in many areas over the past50 years

    All LP problems have 4 properties in common1. All problems seek to maximizeor minimizesome

    quantity (the object ive func t ion)2. The presence of restrictions or constra in tsthat limit the

    degree to which we can pursue our objective

    3. There must be alternative courses of action to choosefrom

    4. The objective and constraints in problems must beexpressed in terms of l inearequations or inequali t ies

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    4/18 2009 Prentice-Hall, Inc. 74

    LP Propert ies and Assumpt ions

    PROPERTIES OF LINEAR PROGRAMS

    1. One objective function

    2. One or more constraints

    3. Alternative courses of action

    4. Objective function and constraints are linear

    ASSUMPTIONS OF LP

    1. Certainty

    2. Proportionality

    3. Additivity

    4. Divisibility

    5. Nonnegative variables

    Table 7.1

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    Basic Assumpt ions of LP

    We assume conditions of certaintyexist andnumbers in the objective and constraints areknown with certainty and do not change duringthe period being studied

    We assume proport ional i tyexists in the objectiveand constraints

    We assume addit iv i tyin that the total of allactivities equals the sum of the individual

    activities We assume div is ib i l i tyin that solutions need not

    be whole numbers

    All answers or variables are nonnegat ive

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    Formulat ing LP Prob lems

    Formulating a linear program involves developinga mathematical model to represent the managerialproblem

    The steps in formulating a linear program are

    1. Completely understand the managerialproblem being faced

    2. Identify the objective and constraints

    3. Define the decision variables

    4. Use the decision variables to writemathematical expressions for the objectivefunction and the constraints

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    7/18 2009 Prentice-Hall, Inc. 77

    Formulat ing LP Prob lems

    One of the most common LP applications is theproduct m ix prob lem

    Two or more products are produced usinglimited resources such as personnel, machines,and raw materials

    The profit that the firm seeks to maximize isbased on the profit contribution per unit of eachproduct

    The company would like to determine howmany units of each product it should produceso as to maximize overall profit given its limitedresources

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    Flair Furn i ture Company

    The Flair Furniture Company producesinexpensive tables and chairs

    Processes are similar in that both require a certainamount of hours of carpentry work and in the

    painting and varnishing department Each table takes 4 hours of carpentry and 2 hours

    of painting and varnishing

    Each chair requires 3 of carpentry and 1 hour ofpainting and varnishing

    There are 240 hours of carpentry time availableand 100 hours of painting and varnishing

    Each table yields a profit of $70 and each chair aprofit of $50

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    9/18 2009 Prentice-Hall, Inc. 79

    Flair Furn i ture Company

    The company wants to determine the bestcombination of tables and chairs to produce toreach the maximum profit

    HOURS REQUIRED TO

    PRODUCE 1 UNIT

    DEPARTMENT(T)

    TABLES(C)

    CHAIRSAVAILABLE HOURSTHIS WEEK

    Carpentry 4 3 240

    Painting and varnishing 2 1 100

    Profit per unit $70 $50

    Table 7.2

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    10/18 2009 Prentice-Hall, Inc. 710

    Flair Furn i ture Company

    The objective is to

    Maximize profit

    The constraints are

    1. The hours of carpentry time used cannotexceed 240 hours per week

    2. The hours of painting and varnishing timeused cannot exceed 100 hours per week

    The decision variables representing the actual

    decisions we will make areT= number of tables to be produced per week

    C= number of chairs to be produced per week

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    Flair Furn i ture Company

    We create the LP objective function in terms of Tand C

    Maximize profit = $70T+ $50C

    Develop mathematical relationships for the twoconstraints

    For carpentry, total time used is(4 hours per table)(Number of tables produced)

    + (3 hours per chair)(Number of chairs produced)

    We know thatCarpentry time used Carpentry time available

    4T+ 3C 240 (hours of carpentry time)

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    Flair Furn i ture Company

    Similarly

    Painting and varnishing time used Painting and varnishing time available

    2 T+ 1C 100 (hours of painting and varnishing time)

    This means that each table producedrequires two hours of painting andvarnishing time

    Both of these constraints restrict productioncapacity and affect total profit

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    13/18 2009 Prentice-Hall, Inc. 713

    Flair Furn i ture Company

    The values for Tand Cmust be nonnegative

    T 0 (number of tables produced is greaterthan or equal to 0)

    C 0 (number of chairs produced is greater

    than or equal to 0)

    The complete problem stated mathematically

    Maximize profit = $70T+ $50C

    subject to4T+ 3C240 (carpentry constraint)2T+ 1C100 (painting and varnishing constraint)

    T, C0 (nonnegativity constraint)

  • 5/28/2018 2 Linear Programming

    14/18 2009 Prentice-Hall, Inc. 714

    Cycle Trends is introducing two new lightweight bicycleframes, the Deluxe and the Professional, to be made from

    aluminum and steel alloys. The anticipated unit profits are $10

    for the Deluxe and $15 for the Professional.

    The number of pounds of each alloy needed per frame is

    summarized on the table. A supplier delivers 100 pounds of the

    aluminum alloy and 80 pounds of the steel alloy weekly. How

    many Deluxe and Professional frames should Cycle Trends

    produce each week?

    Pounds of each alloy needed per frame

    1- Example: LP Formulation

    Aluminum Alloy Steel Alloy

    Deluxe 2 3

    Professional 4 2

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    15/18 2009 Prentice-Hall, Inc. 715

    Montana Wood Products manufacturers two-high quality products, tables and chairs. Its profit is

    $15 per chair and $21 per table. Weekly production is

    constrained by available labor and wood. Each chair

    requires 4 labor hours and 8 board feet of wood whileeach table requires 3 labor hours and 12 board feet of

    wood. Available wood is 2400 board feet and available

    labor is 920 hours. Management also requires at least

    40 tables and at least 4 chairs be produced for every

    table produced. To maximize profits, how many chairs

    and tables should be produced?

    2- Example: LP Formulation

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    16/18 2009 Prentice-Hall, Inc. 716

    The Sureset Concrete Company produces

    concrete. Two ingredients in concrete are sand (costs

    $6 per ton) and gravel (costs $8 per ton). Sand and

    gravel together must make up exactly 75% of theweight of the concrete. Also, no more than 40% of the

    concrete can be sand and at least 30% of the concrete

    be gravel. Each day 2000 tons of concrete are

    produced. To minimize costs, how many tons of graveland sand should be purchased each day?

    3- Example: LP Formulation

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    2009 Prentice-Hall, Inc. 717

    A company produces two products that are processed on twoassembly lines. Assembly line 1 has 100 available hours, andassembly line 2 has 42 available hours. Each product requires

    10 hours of processing time on line 1, while on line 2 product1 requires 7 hours and product 2 requires 3 hours. The profitfor product 1 is $6 per unit, and the profit for product 2 is $4per unit.

    Formulate a linear programming model for this problem.

    4- Example: LP Formu lat ion

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    2009 Prentice-Hall, Inc. 7 18

    A California grower has a 50-acre farm on which to plantstrawberries and tomatoes. The grower has available 300 hours oflabor per week and 800 tons of fertilizer, and he has contracted forshipping space for a maximum of 26 acres' worth of strawberries

    and 37 acres' worth of tomatoes. An acre of strawberries requires10 hours of labor and 8 tons of fertilizer, whereas an acre oftomatoes requires 3 hours of labor and 20 tons of fertilizer. Theprofit from an acre of strawberries is $400, and the profit from anacre of tomatoes is $300. The farmer wants to know the number of

    acres of strawberries and tomatoes to plant to maximize profit.

    Formulate a linear programming model for this problem.

    5- Example: LP Formu lat ion