Linear Programming

ELEMENTS OF LP - DECISION VARIABLE, OBJECTIVE FUNCTION,

CONSTRAINS, PARAMETERS
Prepared by: Antara Haque
ID: 1930973
Linear Programming

 LP is a powerful quantitative tool used by operations manager to obtain optimal

solution.
 Linear Programming has four components that provides structure of a linear
programming model-
1. Objective function
2. Decision variables
3. Constraints
4. Parameters
Objective function
 Two general types of objectives: maximization (profit, revenue, efficiency etc.)
and minimization (cost, time etc.).
x1 -quantity of type 1 to produce; x2 -quantity of type 2 to produce
Objective Function:
Maximize Z = 60x1 +50 x2 (Profit)

Decision variables
 Decision variables represent choices available to the decision maker in
terms of amounts either inputs or outputs.
Constraints
 Constraints are limitations that restrict the alternatives available to decision makers.
X1 ≥ 20 Units
6x1 +5 x2 ≤ 250 Hours

Parameters
 An LP model consists of a mathematical statement of the objective and a mathematical statement
of each constraint. These statements consist of constants, called parameters.
Thank You!