Module 2 Linear Programming: Simplex

Lesson 4 Method (Minimization)

4.1 Introduction

The procedure for solving a Linear Programming Problem by the Simplex Method involves an
iteration of one basic feasible solution to another. An initial simplex tableau will be constructed
out of the different kinds of variables together with their coefficients from the modified set of
equality constraints which is called the new program of equality constraints. This tabular
presentation of the solution is derived from the concept of reducing the augmented and
elementary matrices to its echelon form.

In any type of linear programming model, whether maximization or minimization, the following
assumptions should be taken into consideration.

1. A set of variables: basic, slack, and artificial variables are constrained to be non-
negative, since these variables would represent measurable quantities.

2. A set of linear constraints, each of which contains a ≤, ≥ or = signs, is converted to a

new program of equality constraints for the purpose of transferring its coefficients and
variables to the simplex tableau.

3. A linear objective function is either maximization or minimization.

4. The basic variables, usually denoted by X1, X2, …., Xn, represent the product mix; or
i.e., the desired units that will yield an optimum or feasible solution.

5. The slack variables, denoted by S1, S2, …. Sj, represent the unused resources or the
surplus and, therefore, these will demonstrate negligible or zero profit or cost
contribution.

6. The artificial variables, denoted by A1, A2, …., Aj, represent the most expensive
resources substitutes, thus they will demonstrate the highest cost contribution to the
objective function. It is suggested that students will use any of the powers of 10 (e.g., 10,
100, 1,000, 10,000…) for the coefficient of A, in the objective function as long as it is the
highest among the given coefficients of the variables.

4.2. Steps in Solving Linear Programming Problems by the Simplex Method:

Minimization Problems

Step 1: Represent the unknowns by the basic variables X1, X2,…….Xn (any other letters can be
used) and indicate the units for measuring these unknown quantities.

Step 2: State the objective function (which is usually maximizing profit or minimizing cost) and
set up the algebraic expressions describing the problem constraints with proper
inequality or equality signs.

Step 3: Convert the constraints to a new program of equality constraints with these rules:
i) If the symbol is “≤”, then add slack variable Sj. to the left side then change the sign
to equality “=”.
ii) If the symbol is “=’, then add artificial variable Aj to the left side and retain the
equality “=” sign.
iii) If the symbol is “≥”, then subtract slack variable S j but add artificial variable on the
left side and change the sign to equality “=” sign.
Step 4: Construct the initial simplex tableau by entering the variables and their
coefficients in the following standard form.
Contribution to Feasible Constant Basic Slack
profit product variable Variable Variable
Cj Objective
coefficient row

Product Qty. X1 X2 S1, S2,..Sn Variable row

B1 C11 C12
Constraints
coefficient row
B2 C21 C22
B3 C31 C32
Zj Total profits
row
Cj - Zj Net profit row

For a simplex minimization tableau, it is proper to start a simplex table with a very large total
cost along the Zj row so that as we develop this initial and subsequent tables, the Zj rows will
demonstrate a decreasing value for the total cost until we obtain an optimum table that shows
the minimum cost of the objective function. This is done by entering the positive slack and
artificial variables of each constraints in the initial simplex tableau.

Step 5: Determine the entries for Zj row and (Cj – Zj) for a minimization problem and every
variable column entry. Zj row entries are obtained by taking the sum of the products of Cj
column entries and every variable column entries.

Step 6: Determine the entering variable of the optimum column, i.e., the column with the most
negative entry of Cj – Zj row. Encircle the optimum column.

Step 7: Determine the outgoing variable of the Pivot row, i.e., the row with the least positive
quotient between the quantity column entries and optimum column entries. (Disregard
24 −3 0
ratios like , . ). Encircle the Pivot row.
0 4 5

Step 8: Determine the New Pivotal Row by dividing each pivotal row entries with the pivot
element. This pivot element is the entry along intersection of pivot row and optimum
column. Encircle the New Pivot Row.
*New Pivot Row = Pivot Row ÷ Pivot element

Step 9: Determine the New Remaining Rows. This is done by taking the sum of the entries from
an old row and new pivot row multiplied by the negative of an element along the
intersection of Optimum column and the Old row which is being evaluated. Notice that in
Steps 8 and 9, the concept of reducing matrix to echelon form is partially performed
whenever we convert the column entries to zero and one.
*New Rj = Old Rj + (-e)(NPR)

Step 10: Construct the next simplex tableau by entering the value obtained from Step 8
and 9 and replacing the so-called outgoing variable of the pivot with the entering variable
of the Optimum column from the previous simplex tableau. Complete this simplex
tableau by recalculating the Zj row and Cj – Zj row. If there is still negative entry found on
the Cj – Zj row then go back to Step 6 to 10 in reconstructing the simplex tableau.
Otherwise, if there is no negative entry found on the P j – Zj row, then the process stops
for the final or optimum table has been obtained. Notice that in this Optimum Table, the
product column entries and the Quantity Column entries reveal the optimum solution,
together with the desired objective. State the decision.
Example 1:
Minimize: C = 8X1 + 2X2  8X1 + 2X2 – 0S1 + 0S2 + 10A1 + 10A2

Constraints: New Program of Constraints:

1) 2X1 + X2 ≥ 20 2X1 + X2 – S1 + A1 = 20
2) X1 + 2X2 ≤ 25 X1 + 2X2 + S2 = 25
3) X1 + 5X2 = 50 X1 + 5X2 + A2 = 50

Implicit Constraints:
X1, X2 ≥ 0 X1, X2, S1, S2, A1, A2 ≥ 0

(see, excel file for Step 3-10)

Example 2:
How much beef at P150 a kilo which contains 70% lean meat and 30% fat and how much pork
at P110 a kilo which contains 60% lean meat and 40% fat should be purchased to provide at
most 20 kilos of lean meat and at least 8 kilos of fat while keeping the cost as small as
possible?