LINEAR PROGRAMMING
TO BY
DR. VINOD NEGI ANKIT 5210
INTRODUCTION
After the second World War, The American Mathematician, G.B. Dantzig
developed the concept of linear Programming.
Linear programming, thus, be defined as a mathematical method of
calculating the least cost combination of the factor of production, when
there are many possible alternative combination available to firm. Actually,
this programming was schedule for defense problems. As linear
programming is considered as an important technique that is used to find
the optimum resource utilization.
LINEAR PROGRAMMING
Linear programming is a mathematical technique that determines the
best way to use available resources. Managers use the process to
help make decisions about the most efficient use of limited resources
– like money, time, materials, and machinery.
The main objective of linear programming is to maximize or
minimize the numerical value. Linear Programming considers as two
sides of the same coin which cannot be separated from each other.
BASIC CONCEPTS & TERMS USED
IN LINEAR PROGRAMMING
1. Objective Function:- The objective function called as criterion
function states the determination of the quantity to be maximized or to
be minimized. In a problem, the objective function should be
specified is a quantitative way.
2. Linearity:- The concept of linearity means that the problem which
we analyze under the linear programming must have a linear function.
The relationship between two or more variable in the function must be
linear.
3. Constraints:- Constrains or restraints are the limitations on the power
of the firm to employ the factors of production. A firm may have the
limitation of capital beyond which he may not be employed in a position
to employ capital.
4. Decision Variable:- The decision variable will decide the output. It
gives the ultimate solution of the problem. For any problem, the first step
is to defined the decision variables.
5. Finiteness:- There should be finite & infinite input & output members.
In case, if the function has infinite factors, the optimum solution is not
feasible
GUIDELINES FOR LP MODEL
FORMULATION
Understand the problem thoroughly
Describe the objective
Describe each constraints
Define the decision variables
Write the objective in terms of the decision variable
Write the constraints in terms of the decision variable
APPLICATIONS OF LINEAR
PROGRAMMING
Used In Engineering
Used For Efficient Manufacturing
Use In Solving Transportation Problem
Used In Energy Industry
Used In Economic Planning
Used In Developing Countries
ADVANTAGES OF LINEAR
PROGRAMMING
LP makes logical thinking & provides better insight into business
problems.
Managers can select the best solution with the help of LP by
evaluating the cost & profits of various alternatives.
LP provides an information base for optimum allocation of scare
resources.
LP assists in making adjustments according to changing conditions.
LP helps in solving multi-dimensional problems.
LIMITATIONS
Too much mathematical
It ignores the time & certainty
Difficult to lay specific objective function
It deals only with one single objective
Non-availability of computational aids.
It treats all relationships among decision variables as linear.
