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2.1 Introduction
In the previous unit, we dealt with operations research. We discussed the
background, scope, features, phases, types, limitations, techniques, and
tools of operations research. We also analysed the operations research
methodology and the structure of the mathematical model. In this unit, we
will deal with linear programming. Linear programming focuses on obtaining
the best possible output (or a set of outputs) from a given set of limited
resources.
Minimal time and effort and maximum benefit coupled with the best possible
output or a set of outputs is the mantra of any decision-maker. Today,
decision-makers or managements have to tackle the issue of allocating
limited and scarce resources at various levels in an organisation, in the best
possible manner. Man, money, machine, time, and technology are some of
Solved problem 1:
A company has three operational departments (weaving, processing, and
packing) with a capacity to produce three different types of clothes - suits,
shirts, and woollens, yielding a profit of Rs.2, Rs.4, and Rs.3 per meter
respectively. One meter of suiting requires 3 minutes of weaving, 2 minutes
of processing, and 1 minute of packing. Similarly, one meter of shirting
requires 4 minutes of weaving, 1 minute of processing, and 3 minutes of
packing. One meter of woollen requires 3 minutes in each department. In a
week, total run time of each department is 60, 40, and 80 hours for weaving,
processing, and packing respectively.
Formulate the linear programming problem to find the product mix to
maximise the profit.
Mathematical formulation:
The data of the problem is summarised below in table 2.1:
Table 2.1: summary of the data of the problem
Departments Profit
Weaving Processing Packing (Rs. per
(in min) (in min) (in min) meter)
Suits 3 2 1 2
Shirts 4 1 3 4
Woollens 3 3 3 3
Availability (min) 60*60 40*60 80*60
The linear programming problem can thus be put in the following algebraic
format:
Find x1, x2, and x3 so as to maximise
Z = 2x1+4x2+3x3
Subject to constraints: 3x1+4x2+3x3≤ 3600
2x1+x2+3x3≤ 2400
3x1+3x2+3x3≤ 4800
x1, x2, and x3 ≥ 0
4. An inequality constraint with its left hand side in the absolute form can
be changed into two regular inequalities. For example,
|2x1+3x2| ≤ 5 is equivalent to 2x1+3x2 ≤ 5 and 2x1+3x2 ≥ – 5 or – 2x1– 3x2 ≤ 5.
5. The variable, which is unconstrained in sign, is equivalent to the
difference between two non-negative variables. For example, if x is
unconstrained in sign then x = (x+ – x–) where x+ ≥ 0, x– ≤ 0.
Case-let
An automobile company has two units X and Y, which manufactures
three different models of cars - A, B, and C. The company has to supply
1500, 2500, and 3000 cars of type A, B, and C respectively per week
(6 days). It costs the company Rs.1,00,000 and Rs.1,20,000 per day to
run the units X and Y respectively. In a day, unit X manufactures 200,
250, and 400 cars and unit Y manufactures 180, 200, and 300 cars of A,
B, and C respectively. The operations manager has to decide on how
many days per week should each unit be operated to meet the current
demand at minimum cost.
The operations manager along with his/her team uses a LPP model to
arrive at the minimum cost solution.
Solved problem 1
A firm engaged in producing 2 models - model A and model B, performs
only 3 operations – painting, assembly, and testing. Table 2.1 depicts the
relevant data.
Table 2.1: Unit Sale Price and Hours Required for Each Unit
Hours required for each unit
Unit sale price
Assembly Painting Testing
Total numbers of hours available each week are as under assembly 600,
painting 100, and testing 30. The firm wishes to determine the weekly
product-mix to maximise revenue.
Solved problem 2
A milk distributor supplies milk in bottles to houses in three areas A, B,
and C in a city. His delivery charge per bottle is 30 paise in area A, 40
paise in area B, and 50 paise in area C. He has to spend on an average,
1 minute to supply one bottle in area A, 2 minutes per bottle in area B,
and 3 minutes per bottle in area C. He can spare only 2 hours 30 minutes
for milk distribution but not more than 1 hour 30 minutes for area A and B
together. He can deliver at the most 120 bottles.
Find the number of bottles that he has to supply in each area so as to
maximise the supply. Construct a mathematical model.
Solved problem 3
An oil company has two units A and B, which produce three different
grades of oil – super fine, medium, and low grade. The company has to
supply 12, 8, and 24 barrels of super fine, medium, and low-grade oil
respectively per week. It costs the company Rs.1000 and Rs.800 per day
to run the units A and B respectively.
In a day, unit A produces 6, 2, and 4 barrels and unit B produces 2, 2,
and 12 barrels of super fine, medium, and low grade respectively. The
manager has to decide on how many days per week should each unit be
operated in order to meet the requirement at minimum cost.
Formulate the LPP model.
Let x1 and x2 be the number of days that unit A and B must be operated
per week respectively. Then the objective of the manager is to:
Minimise the cost function
Z = 1000 x1 + 800 x2
Subject to the constraints 6x1 + 2x2 ≥ 12 (super fine)
2x1 + 2 x2 ≥ 8 (medium)
4x1 + 12 x2 ≥ 24 (low grade)
and x1 >0, x2 ≥ 0
Maximise p= 3x1+5x2
Subject to restrictions
x1+2x2 ≤ 2000(time constraint)
x1+x2 ≤ 1500(plastic constraint)
x2 ≤ 600 (dress constraint)
and non-negativity restrictions
x1≥ 0, x2≥0
2.9 Summary
Let us recapitulate the important concepts discussed in this unit:
In LPP, first identify the decision variables with economic or physical
quantities whose values are of interest to the management.
The problems must have a well-defined objective function expressed in
terms of the decision variable.
The objective is to maximise the resources when it expresses profit or
contribution. If the objective function indicates cost, then it has to be
minimised.
The decision variables interact with each other through some
constraints. These constraints arise due to limited resources, stipulation
on quality, technical, legal, or a variety of other reasons.
2.10 Glossary
Decision variables - set of unknown quantities in LPP
Bottleneck - A point in the production process that causes delay.
2.12 Answers
Self Assessment Questions
1. Linear
2. Alternate course of action
3. Fractions
4. True
5. True
6. Linear programming
7. Decision problem
8. Proper mix of media
9. Raw material
Terminal Questions
1. LPP is a mathematical technique for planning and decision making.
Examples: development of production schedule and establishment of an
investment portfolio. For more information refer 2.2
2. Applications of LPP in the area of finance, productions and operations
management, human resources, marketing and distributions. For more
information refer 2.6
3. Advantages of LPP: optimum utilisation of productive resources,
improves quality of decisions, provides practically applicable solutions.
For more information refer 2.7
4. Basic assumptions of LPP: Linearity, deterministic, additivity, divisibility
etc. For more information refer 2.3 and 2.3.1
5. The general linear programming model can be defined as follows:
Maximise or minimise Z = c1 x1 + c2 x2 + - - - - + cn xn
For more information refer 2.4.1
6. [Hint: x1= tons of grade A coal, x2= tons of grade B coal & x3= tons of
grade C coal]. For more information refer 2.4 and 2.5.
7. Maximise 3x1 + 5x2, subject to x1 + 2x2 ≥ 800 (minutes)
3x1 + 2x2 ≥ 1200 (minutes) x1, x2 ≥ 0 For more information refer 2.4
and 2.5.
purchased. The expected net annual profit would be Rs. 15,000 for the
station wagon, Rs. 35,000 for the mini bus, and Rs. 45,000 for the large bus.
The company has hired 30 new drivers for the new vehicles. They are
qualified drivers for all the three types of vehicles.
The maintenance department has the capacity to handle an additional 80
station wagons. A mini bus is equivalent to 5/3 station wagons and each
large bus is equivalent to two station wagons in terms of their use of the
maintenance department.
Discussion Questions:
1. Formulate a linear programming model, which would help to determine
the optimum number of each type of vehicle to be purchased in order to
maximise profit.
[Hint: x1= no. of station wagons to purchase, x2= no. of minibus to
purchase & x3= no. of large buses to purchase].
References :