MANAGEMENT SCIENCE BBA
6𝑡ℎ SEMESTER
CHAPTER-2
LINEAR PROGRAMING PROBLEM
LINEAR PROGRAMING PROBLEM
Linear programming is widely used mathematical modeling technique, which
is developed to help decision makers in planning and decision making as far as
resource allocation is concerned. It is a technique for choosing the best
alternatives from a set of feasible alternatives, in situation in which the
objective function as well as constraints can be expressed as linear
mathematical functions. Linear programming involves optimization of certain
functions called objective function subject to certain constraints. Linear
programming technique may be used for solving broad range of problems
arising in business, government, industry, hospitals, libraries, etc.
The relationship between The model must
variables and constraints have an objective
must be linear. 01 function.
04 02
The model must have 03 The model must have
structural constraints non-negativity constraint.
PROPERTIES OF LINEAR PROGRAMING
MODEL(PROBLEM)
OBJECTIVES OF LINEAR PROGRAMING
MODEL (PROBLEM)
Linear programming is a quantitative tool for optimal allocation of
limited resources among competing activities. The objective of linear
programming is maximization of profit or minimization of cost.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
01
It is assumed that the decision maker here is completely certain (i.e.,
deterministic conditions) regarding all aspects of the situation, i.e.,
availability of resources, profit contribution of the products,
technology, courses of action and their consequences etc.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
02
It is assumed that the relationship between variables in the problem and
the resources available. i.e., constraints of the problem exhibit
linearity. Here the term linearity implies proportionality and additivity.
This assumption is very useful as it simplifies modelling of the problem.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
03
We assume here fixed technology. Fixed technology refers to the fact
that the production requirements are fixed during the planning period
and will not change in the period.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
04
It is assumed that the profit contribution of a product remains
constant, irrespective of level of production and sales.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
05
It is assumed that the decision variables are continuous. It means that
the companies manufacture products in fractional units. For example,
company manufactures 2.5 vehicles, 3.2 barrels of oil etc. This is
referred to as the assumption of divisibility.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
06
It is assumed that only one decision is required for the planning
period. This condition shows that the linear programming model is a
static model, which implies that the linear programming problem is a
single stage decision problem.
ASSUMPTIONS ON LINEAR PROGRAMING
PROBLEM
07
All variables are restricted to non negative values (i.e., their
numerical value will be ≥0).
APPLICATIONS OF LINEAR PROGRAMING
Agriculture
Linear programming can be applied in agriculture planning.
Example; allocation of limited resources such as acreage, labour,
water supply, working capital etc. in a way so as to maximize net
revenue.
Military application
It includes the problem of selecting weapons system against the
enemy.
Production management :
Product mix: Production planning:
A company can produce different
products each of which requires
the use of limited production
This deals with the
resources. The management
determination of the minimum
wants to determine the quantity
cost of production over the
of each product to be produced,
planning period.
knowing the managerial
contribution and the amount of
resources to be used. In this case
the objective function may be
maximization of the total profit
or minimization of loss subject to
certain constraints.
Portfolio selection
This involves the selection of specific investment activity among
several activities. The objective function is to find the allocation
which maximizes the expected return.
Profit planning
It involves the maximization of profit margin from investment in
plant facilities and equipment, cash in hand etc.
Physical distribution
It determines the most economical and efficient manner of
allocating manufacturing plants and distribution centers for
physical distribution.
Job evaluation
Selection of suitable person for a specified job and evaluation of a
job in organization has been done with the help of Linear
programming technique.
FORMULATION OF MATHEMATICAL MODEL
TO LINEAR PROGRAMMING PROGRAM
Identification of the problem and setting up of objectives.
Establish the interrelationship between the variables of the
situation.
Identification of alternative variables
Specification of constraints.
Summarizing the problem in a mathematical form.
FORMULATION OF LINEAR PROGRAMMING
PROGRAM
ILLUSTRATION-1
QUESTION
An animal feed company must produce at least 200kgs of a
mixture consisting of ingredients 𝑥1 and 𝑥2 daily. 𝑥1 costs
Rs.3 per kg and 𝑥2 Rs. 8 per kg. No more than 80kg of 𝑥1
can be used and at least 60kgs of 𝑥2 must be used.
Formulate a mathematical model to the problem.
SOLUTION
𝑥=Number of units of the ingredients 𝑥1
𝑦=Number of units of the ingredients 𝑥2
The Objective function is
Minimise Z=𝟑𝒙 + 𝟖𝒚
Subject to
𝒙 + 𝒚 ≥ 𝟐𝟎𝟎
𝒙 ≤ 𝟖𝟎
𝒚 ≥ 𝟔𝟎
𝒙 ≥ 𝟎; 𝒚 ≥ 𝟎
FEASIBLE SOLUTION
Any combination of activity levels which satisfies
all constraints, including non negativity
restrictions, is known as feasible solution to the
problem.
SOLVING OF LINEAR PROGRAMMING PROBLEM
GRAPHICAL METHOD
GRAPHICAL METHOD
Graphical method is used to solve linear programming problem. It
involves two variables. Each line is represented by each constraint.
STEPS
01 02 03 04
Formulate All Draw Find out
the constraints the the
problem. may be curve.. feasible
written as region.
equality.
ILLUSTRATION-2
QUESTION
Solve the following problem graphically.
Maximize 𝑍 = 60𝑥1 + 40𝑥2
Subject to 2𝑥1 + 𝑥2 ≤ 60
𝑥1 ≤ 25
𝑥2 ≤ 35
𝑥1 ≥ 0; 𝑥2 ≥ 0
SOLUTION
2𝑥1 + 𝑥2 = 60 … … . . (1)
𝑥1 = 25…..(2)
𝑥2 = 35 … . 3
𝑥1 = 0 … … (4)
𝑥2 = 0 … … . (5)
Consider equation—(1) 𝟐𝒙𝟏 + 𝒙𝟐 = 𝟔𝟎
= 0 then
Let 𝑥1
2 × 0 + 𝑥2 = 60
𝑥2 = 60 (0,60)
Let 𝑥2= 0 then
2𝑥1 + 0 = 60
60
𝑥1 = = 30 (30,0)
2
Consider equation—(2) 𝒙𝟏 = 𝟐𝟓
Here the line is parallel to the Y-axis
(25,0)
Consider equation—(3) 𝒙𝟐 = 𝟑𝟓
Here the line is parallel to the X-axis
(0,35)
P Q
2𝑥1 + 𝑥2 = 60
R 𝑥1 = 25
𝑥2 = 35
O S
SOLUTION
Points 𝑥1 𝑥2 𝑍 = 60𝑥1 + 40𝑥2
O 0 0 0
P O 35 60 × 0 + 40 × 35 = 1400
Q 12.5 35 60 × 12.5 + 40 × 35 = 2150
R 25 10 60 × 25 + 40 × 10 = 1900
S 25 0 60 ×25 + 40 × 10 = 1500
LINEAR PROGRAMMING PROBLEM
MERITS AND DEMERITS
MERITS
• It helps an organization to
study the information through
scientific approach the
application of LPP helps to • Plans can be reevaluated for
consider all possible solutions changing conditions
of a problem and select the
optimal solution • Can be used for production
problems
• LP helps to identify the
constraints under which an
organization operates.
DEMERITS
• LP model can only be applied if the constraints and objectives functions
can be stated as linear expressions
• co-efficient in the objective function and the constraints equations
must co-efficient in the objective function and the constraints
equations must
• it may provide fractional valued answers
• if the management has conflicting multiple goals, the LP will fail to give
correct solution
• LP does not consider the effect of time and uncertainty
