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OPTIMISATION:
Li
Linear P
Programming
i M Models:
d l
Graphical Method

Steps in Developing a Linear

Programming (LP) Model
1) Formulation

2) Solution

3) Interpretation and Sensitivity Analysis

Properties of LP Models
1) Seek to minimize or maximize
2) Include “constraints” or limitations
3) There
Th mustt b
be alternatives
lt ti available
il bl
4) All equations are linear

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Example LP Model Formulation:

The Product Mix Problem
Decision: How much to make of > 2 products?

Objective: Maximize profit

Constraints: Limited resources

Example: Flair Furniture Co.

Two products: Chairs and Tables

Decision: How many of each to make this

month?
th?

Objective: Maximize profit

Flair Furniture Co. Data

Tables Chairs
(per table) (per chair)
Profit Hours
$7 $5
Contribution Available
Carpentry
p y 3 hrs 4 hrs 2400
Painting 2 hrs 1 hr 1000

Other Limitations:
• Make no more than 450 chairs
• Make at least 100 tables

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Decision Variables:
T = Num. of tables to make
C = Num. of chairs to make

Objective Function: Maximize Profit

Maximize Z=$7 T + $5 C

Constraints:

• Have 2400 hours of carpentry time

available
3 T + 4 C < 2400 (hours)
• Have 1000 hours of painting time available
2 T + 1 C < 1000 (hours)

More Constraints:
• Make no more than 450 chairs
C < 450 (num. chairs)
• Make at least 100 tables
T > 100 (num. tables)

Nonnegativity or feasibility:
Cannot make a negative number of chairs or tables
T>0
C>0

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Model Summary
Max Z=7T + 5C (profit)
Subject to the constraints:

3T + 4C < 2400 (carpentry hrs)

2T + 1C < 1000 (painting hrs)

C < 450 (max # chairs)

T > 100 (min # tables)

T, C > 0 (nonnegativity)

Graphical Solution
• Graphing an LP model helps provide
insight into LP models and their solutions.

• Whil
While this
thi can only
l bbe d
done iin ttwo
dimensions, the same properties apply to
all LP models and solutions.

C
Carpentry
Constraint Line
3T + 4C = 2400 Infeasible
600
> 2400 hrs

I t
Intercepts
t
(T = 0, C = 600) Feasible
(T = 800, C = 0) < 2400 hrs
0
0 800 T

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C
1000
Painting
Constraint Line
2T + 1C = 1000
600

I t
Intercepts
t
(T = 0, C = 1000)
(T = 500, C = 0) 0
0 500 800 T

C
1000
Max Chair Line
C = 450

600
Min Table Line
450
T = 100

Feasible
Region
0
0 100 500 800 T

Objective Function
Line
500
Z=7T + 5C = Profit
Optimal Point
400 (T = 320, C = 360)

300

200

100

0 100 200 300 400 500 T

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Additional Constraint New optimal point

500 T = 300, C = 375
Need at least 75
more chairs than
tables 400 T = 320
C > T + 75 C = 360
No longer
300
O
Or f
feasible
ibl

C – T > 75
200

100

0 100 200 300 400 500 T

LP Characteristics
• Feasible Region: The set of points that
satisfies all constraints
• Corner Point Property: An optimal
solution must lie at one or more corner
points
• Optimal Solution: The corner point with
the best objective function value is optimal

Special Situation in LP
1. Redundant Constraints - do not affect
the feasible region

E
Example:
l x < 10
x < 12
The second constraint is redundant
because it is less restrictive.

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Special Situation in LP
2. Infeasibility – when no feasible solution
exists (there is no feasible region)

E
Example:
l x < 10
x > 15

Special Situation in LP
3. Alternate Optimal Solutions – when
there is more than one optimal solution
C
Max Z=2T + 2C 10
Subject to: All points on
T + C < 10 Red segment
6
T < 5 are optimal
C< 6
T, C > 0
0
0 5 10 T

Special Situation in LP
4. Unbounded Solutions – when nothing
prevents the solution from becoming
infinitely large
C
Max Z=2T + 2C
Subject to: 2
2T + 3C > 6
T, C > 0 1

0
0 1 2 3 T

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