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Prof. Byron L.

Newberry
Oklahoma Christian University
Management Science, The Art of Modeling with Spreadsheets
Stephen G. Powell and Kenneth R. Baker
Wiley Publishing Company
Linear Programming (Chapter 11)

No problem can stand the assault
of sustained thinking.

Voltaire
Linear Programming Problems
(Many Different Types, But All Similar)
Allocation models
Maximize objective (e.g., profit) subject to LT constraints on
capacity

Covering models
Minimize objective (e.g., cost) subject to GT constraints on
required coverage

Blending models
Mix materials with different properties to find best blend

Network models (much more on this next chapter)
Describe patterns of flow in a connected system
Model Classification
Linear optimization or programming
Objective and all constraints are linear functions of the
decision variables.

Nonlinear optimization or programming
Either objective or a constraint (or both) are nonlinear
functions of the decision variables.

Techniques for solving linear models are more
powerful.
What do LP Problems Look Like?
Note the linear form in the end.
Obviously nonlinear models
would not share this feature.
The first and most critical step is problem setup!
Take the time to do it correctly!
A Graphical View of LP Models
Beyond even two variables, graphical techniques
become hard, but we can gain some insight.

A Two Variable Model Graphical Example

A Three Variable Model Graphical Example

Take the time to watch the video before
proceeding (it is on Blackboard).
Solution to the Planting Problem
In order to actually solve the problem, we will need
numbers for our variables. The numbers below are
simply values to allow solution.

$800x
1
+ $500x
2
(Maximize this objective)

Subject to the following constraints

x
1
+ x
2
2000
29x
1
+ 17x
2
42800
17x
1
+ 12x
2
26000
x
1
0
x
2
0

We now solve by plotting the lines associated with
each constraint (color coded in the plot). The
solution area is shaded. The optimal solution will be
at one of the constraint intersections (marked with
circles). The optimal solution is marked YELLOW
($11,939).

So the process is to draw the lines and check the
intersections. The easiest way to draw the lines is
for each constraint equation, first set x
1
to zero and
solve for x
2
. Then set x
2
to zero and solve for x
1
.
With two points you can draw the line.



$10,000
$11,200
$11,939
$11,808
Patterns in Linear Programming
Solutions
The optimal solution tells a story about a pattern of the
problem priorities.
Leads to more convincing explanations for solutions
Can anticipate answers to what-if questions
Provides a level of understanding that enhances decision making

After optimization, you should
always try to discern the
qualitative pattern in the
solution!

Tornado plots can be very useful for
this task.
Example #1
We want to buy two different brands of feed and blend it to produce a
quality, low-cost diet for turkeys. The details of the two feeds are given
below:

Feed #1: 5 oz of A, 4 oz of B, and 0.5 oz of C for each pound of feed
$0.02 / pound

Feed #2: 10 oz of A, 3 oz of B, and no C for each pound of feed
$0.03 / pound

The final blend should provide a required MONTHY minimum of at
least 90 oz of A, 48 oz of B, and 1.5 oz of C (per turkey) at minimal cost.

Setup the problem by hand (i.e. write the problem equations as on the
earlier slide) and attempt to solve the LB problem GRAPHICALLY.
Example #1 Mathematical Equations
Let X1 = Feed #1 & X2 = Feed #2, we now need to write the mathematical
relationships implied by the problem statement

Minimize: 2 X1 + 3 X2 Cumulative Cost

S.T. 5 X1 + 10 X2 90 Constraint on Ingredient A
4 X1 + 3 X2 48 Constraint on Ingredient B
0.5 X1 1.5 Constraint on Ingredient C
X1 0 Non-negative on X1
X2 0 Non-negative on X2

Note that we have only 2 variables. We are limited to two variables for
graphical solution by hand. Excel, however, is NOT limited to two variables.
Example #1 Solution Graph
The solution will be at
one of the corners (or
in the RARE event
along an entire line)

Checking all corners,
we see that the
lowest cost (per bird)
is 31.2 cents/month.
X1
X2
Some Special LP Cases
(Graphics from Quantitative Analysis for Management by Render, Stair, and Hanna, 11
th
Ed, 2012)
If the objective of this
problem is maximization we
have issues the solution
domain is unbounded to the right
In this case NO SOLUTION
is possible as the set of
constraints are mutually
exclusive
Even More Special Cases
(Graphics from Quantitative Analysis for Management by Render, Stair, and Hanna, 11
th
Ed, 2012)
The constraint line to the far right
is REDUNDANT and provides
no additional useful information
In this case MANY SOLUTIONS
(mathematically infinite set) exist as
the isoline (Isoprofit in this case) is
parallel to a constraint line
An Additional Practice Problem
In this example, the problem is already formulated as
mathematical equations. You are simply to GRAPHICALLY
solve the problem.

Minimize: 24 X1 + 28 X2

S.T. 5 X1 + 4 X2 2000
X1 80
X1 + X2 300
X2 100
X1, X2 0
Notice anything about
this formulation?
Something is
REDUNDANT!
Practice Problem Solution
(Graphics from Quantitative Analysis for Management by Render, Stair, and Hanna, 11
th
Ed, 2012)
Graphical Depiction of
Constraint Equations and
Solution Space
Determination of the best
Solution using an Isocline
Approach