Tuesday, November 5, 2013
The idea of expressing management problem in a mathematical way it’s the most
Linear programing based on this technique.
Linear programing is a very powerful tool
1.selecting a product
example: we have two department one is cutting and one is sewing
and we have two products standard bag (3 hrs cutting and 2 hrs sewing)
the question is how many products to produce in order to maximize our production.
We have some resoures to use
Labor hour is our resource but then the resource are limited. We have a limit number
of hours in these departments so we want to use them efficiently.
Then we have more information how many hours can we use for each product.
We have limited resource and we want use them efficiently.
Some typical applications of linear programming
2. Picking blend or raw materials in feed mills to produce finished feed combinations
at minimum cost.
Two common goals:
Maximize production efficiency
3. Determining the distribution that will minimize total shipping cost from several
warehouses to various markets locations.
4. a manufacturer wants to develop a production schedule and an inventory policy that
will satisfy sales demand in future periods.
It could be used to combine with inventory models.
To schedule service times.
Linear programing program allow us to solve mathematically a lot of management
1. LP problems seek to maximize or minimize
Some quantity(usually profit or cost). We refer to this proper as the objective
function of an LP problem
For one linear programming can only have one objective.
2. the presence of restrictions, or constraints limits the degree to which we can
pursue our objective. Constraint tells you that you have limit number of resource so we have have to
use it efficiently to solve it.
3. there must be alternative courses of action to choose from.