RESOURCE OPTIMIZTION

CHAPTER FOUR
I. Linear Programming
Formulation and Graphic solution .
 Contents
Introduction
Concept of LP.
Formulation of LP problems.
General statement of LP problems.
Assumptions underlying LP.
Graphical method.
Some special cases of LP.

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 RESOURCE OPTIMIZATION
INTRODUCTION

In design, construction, and maintenance of any engineering system, engineers have to take

many technological and managerial decisions at several stages.

The ultimate goal of all such decisions is either to minimize the effort

required or to maximize the desired benefit.

optimization can be defined as the process of finding the conditions (decision variables)

that give the maximum or minimum value of a objective function.

Optimization is the science of choosing the best amongst a number of possible

alternatives. It is the act of obtaining the best result under given circumstances.

3 3
 INTRODUCTION
 Optimization is a process of finding the "best“(optimal) solution

to a problem
 What do we mean by the "best"?

 The terminology ‘best’ solution implies that there is more

than one solution and the solutions are not of equal value.
 cost, performance, aesthetics, quality, time, etc.

 Optimization selects the "best" decision from a constrained

situation.
• Optimization is the process of adjusting the inputs to find the

4 minimum or maximum output or result.

 Cont’d…
Optimizing Methods
The methods to find an optimal solution to the constrained
resource scheduling problem fall into two categories:
Mathematical programming/LP
Enumeration
Mathematical programming can be thought of as liner
programming (LP) for the most part
Linear programming is usually not feasible for
reasonably large projects where there may be a dozen
resources and thousands of activities.

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Linear Programming (LP)
 Linear means a fixed, definable relationship between the variables in
the problem to be solved.
 Programming refers to the orderly process by which this type of
problem is solved.
LP:-
 Is a mathematical technique to help plan and make decisions relative
to the trade-offs necessary to allocate resources.
 is a mathematical programming technique to optimize performance
( e.g. profit or cost ) under a set of resource constraint ( e.g. machine-
hours, man-hours, money, materials, etc.) as specified by an
organization.
 Mathematical programming is used to find the best or optimal solution to a
problem that requires a decision or set of decisions about how best to
use a set of limited resources to achieve a state goal of objectives.

6 Will find the minimum or maximum value of the objective.
 Cont’d…..
As its name implies, the linear programming model consists of
linear objectives and linear constraints, which means that the
variables in a model have a proportionate relationship.
Is a widely used mathematical modeling technique to
determine the optimum allocation of scarce resources among
competing demands.
Resources typically include:-
 Raw Materials
 Manpower
 Machinery
 Time
 Money and
7  Space
Cont’d…..
Essentials of a Linear Programming model
For a given problem situation, there are certain essential
conditions that need to be solved by using Linear
Programming.
1. Limited resources: limited number of labour, Space
material, equipment and finance.
2. Objective: refers to the aim to optimize (maximize the
profits or minimize the costs).
3. Linearity: increase in labour input will have a
proportionate increase in output.

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 Cont’d…..
 The linear model consists of the following components:

 A set of decision variables

 An objective function
 A set of constraints

1. Decision Variables
 are physical quantities controlled by the decision maker and
represented by mathematical symbols. For example, the decision
variable xj can represent the number of element of a product j that a
company will produce during some month. Decision variables take on
9 any of a set of possible values.
 Cont’d…..
2. Objective function
 defines the criterion for evaluating the solution. It is a mathematical

function of the decision variables that converts a solution into a

numerical evaluation of that solution.
 For example, the objective function may measure the profit or cost

that occurs as a function of the amounts of various products produced.

 The objective function also specifies a direction of optimization,

either to maximize or minimize.

 An optimal solution for the model is the best solution as measured by

that criterion.
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 Cont’d…..

3. Constraints
 are set of functional equalities or inequalities that represent

physical, economic, technological, legal, ethical, or other

restrictions on what numerical values can be assigned to the
decision variables.
 For example, constraints might ensure that no more input is used

than is available.

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Assumptions in linear programming
 Linearity .The amount of resource required for a given activity level is directly

proportional to the level of the activity .For example ,if the number of hours
required on a particular machine (for a given activity level ) is 5 hour per unity
of that activity, then the total number of hours required on that machine to
produce 10 units of that activity is 50 hours.

 Divisibility . This means that fractional values of the decision variables are

permitted .

 Non- negativity . This means that the decision variables are permitted to

have only the values which are greater than or equal to zero.

 Additivity. This means that the total output for a given combination of

activity levels is the algebraic sum of the output of each individual process.
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 Linear Programming (LP) Problem
 The maximization or minimization of some quantity is the

objective in all linear programming problems.

 All LP problems have constraints that limit the degree to which

the objective can be pursued.

 A feasible solution satisfies all the problem's constraints.

 An optimal solution is a feasible solution that results in the

largest possible objective function value when maximizing (or

smallest when minimizing).

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 Problem Formulation(model formulation)
Problem formulation or modeling is the process of
translating a verbal statement of a problem into a
mathematical statement.
Formulating models is an art that can only be mastered
with practice and experience.
Every LP problems has some unique features, but most
problems also have common features.

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 The Linear Programming Model
Let: X1, X2, X3, ………, X n = Decision variables
Z = Objective function or linear function
Requirement: Maximization of the linear function Z.
Z = c1X1 + c2X2 + c3X3 + ………+ c n X n …Eq
(1)
subject to the following constraints:

…Eq (2)

where aij, bi, and cj are given constants.

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 Developing LP Model

 Steps Involved:
✦ Determine the objective of the problem and describe it by a
criterion function in terms of the decision variables.
✦ Find out the constraints.
✦ Do the analysis which should lead to the selection of values
for the decision variables that optimize the criterion function
while satisfying all the constraints imposed on the problem.

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 Example : A Simple Maximization Problem

Objectiv
Max 5x1 + 7x2 e
Function
s.t. x1 < 6
“Regular”
2x1 + 3x2 < 19 Constraint
x1 + x2 < 8 s
Non-
x1 > 0 and x2 > 0 negativity
Constraints

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Applied Example : A Production Problem

 Mugger cement manufacture wishes to produce two types of

cement: type-A will result in a profit of 10.00 birr, and type-B

in a profit of 12.00 birr. To manufacture a type-A cement
requires 20 minutes on machine I and 10 minute on machine II.
A type-B cement requires 10 minute on machine I and 30
minutes on machine II. There are 3 hours available on machine
I and 5 hours available on machine II.
 Formulate a linear programming model

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CONT’D…..
Solution
 Given information:
Type-A Type-B Time Available

Profit/Unit 10.00 birr 12.00 birr

Machine I 20 min 10 min 180 min

Machine II 10 min 30 min 300 min

Let X1 be the number of type-A cement and X2 the number

of type-B cement to be made.

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 CONT’D…
Solution
Type-A Type-B Time Available
Profit/Unit 10.00birr 12.00birr
Machine I 20 min 10 min 180 min
Machine II 10 min 30min 300 min

Then, the total profit (in birr) is given by

 Z = 10X1+12X2
which is the objective function to be maximized.

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CONT’D…

Solution
Type-A Type-B Time Available
Profit/Unit 10.00birr 12.00birr
Machine I 20 min 10 min 180 min
Machine II 10 min 30 min 300 min

The total amount of time that machine I is used is

20X1+10X2 and must not exceed 180 minutes.
Thus, we have the inequality
 20X1+10X2 ≤ 180 ( 1St constraint)

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CONT’D…..

Solution
Type-A Type-B Time Available
Profit/Unit 10.00 12.00
Machine I 20min 10min 180 min
Machine II 10min 30min 300 min

 The total amount of time that machine II is used is

10X1+30X2and must not exceed 300 minutes.
Thus, we have the inequality
10X1+30X2 ≤ 300 ( 2nd constraint)

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 CONT’D….
Solution
Type-A Type-B Time Available

Profit/Unit 10.00 12.00

Machine I 20 min 10min 180 min

Machine II 10 min 30 min 300 min

Finally, X1 and X2 can not be negative, so

X1 > 0 (non- negative constraint)
X2 > 0 (non- negative constraint)

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 CONT’D…..
Solution
 In short, we want to maximize the objective function

Z = 10X1+12X2
subject to the system of inequalities
20X1 + 10X2 ≤ 180
10X1+30X2 ≤ 300
X1> 0
X2> 0

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 Example: Maximizing Profit
 How many bowls and mugs should be produced to maximize
profits given labor and materials constraints?( formulate a
linear programming model) for 40 hrs of labour per day and
120 lbs of clay
 Given product resource requirements and unit profit:

Resource Requirements
Labor Clay Profit
Product
(hr/unit) (lb/unit) ($/unit)
Bowl 1 4 40
Mug 2 3 50

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Solution
Resource Availability:
40 hrs of labor per day, 120 lbs of clay
Decision Variables:
x1 = number of bowls to produce per day
x2 = number of mugs to produce per day
Objective Function: Maximize Z = $40x1 + $50x2,
where Z = profit per day
Resource Constraints: 1x1 + 2x2  40 hours of labor
4x1 + 3x2  120 pounds of clay
Non-Negativity Constraints: x1  0; x2  0
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CONT’D….

Complete Linear Programming Model:

Maximize Z = $40x1 + $50x2

subject to: 1x1 + 2x2  40
4x1 + 3x2  120
x 1, x 2  0

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 Standard form of LP problems
• Standard form of LP problems must have following
three characteristics:
1. Objective function should be of maximization type
2. All the constraints should be of equality type
3. All the decision variables should be nonnegative

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 General form Vs Standard form
 General form • Violating points for
standard form of LPP:
Minimize Z  3x1  5x 2
• Objective function is of
subject to 2x1  3x2  15 minimization type
x1  x2  3
• Constraints are of
4x1  x2  2 inequality type
x1  0 • Decision variable, x2, is
unrestricted, thus, may
x 2 unrestricted
take negative values
also.
How to transform a general form of a LPP to the
29 standard form ?
 General form Standard form
Transformatio
n

Standard form
• General form 1. Objective function
•
1. Objective function Maximize Z   Z   5x 2
3x1
2.Minimize
First constraint Z  3x1  5x 2 2. First constraint
2x1  3x2  15 2x1  3x 2  x3  15

3. Second 3. Second constraint

constraint
x1  x2  x4  3
x1  x 2  3

Variables x3 and x 4 are known as slack variables

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 General form Standard form
Transformation

• General form • Standard form

4. Third constraint 4. Third constraint
4 x1  x 2  2 4 x1  x 2  x 5  2

Variable x5 is known as surplus variable

5. Constraints for decision 5. Constraints for
variables, x1 and x2 decision variables, x1 and x2
x1  0 x1  0
x 2 unrestrict ed x2  x2  x2
and x2 , x2  0

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 Methods of Solving LP
Graphical method
 is a method for finding optimal solutions to two-variable
problems.
Outline of Graphical Solution Method
 The graphical method plots :-
 the constraints on a graph and
 identifies an area that satisfies all of the constraints.
 The area is referred to as the feasible solution space.
 Next, the objective function is plotted and used to identify
the optimal point in the feasible solution space.
• The coordinates of the point can sometimes be read directly from
the graph, although generally an algebraic determination of the
coordinates of the point is necessary.
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 Cont’d…
Methodology of graphical solution

1. Each constraint is initially considered as equality and is plotted

by a line (or a level at three-dimensional problems).

2. The part of the level (or of the space in three-dimensional

problems), which’s all points verify a specific constraint is
identified for every constraint.
 The fastest way is to check whether the intersection of the axes

(coordinate 0,0) verifies the constraint (what is valid for this

coordinate will also be valid for all points belonging to the same

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semi-level)
 Cont’d…

3. The intersection of all semi-levels is defined, which verifies all

the constraints.
 Consequently all vertices of the intersection are being defined.

4. The objective function f(x) is plotted, consisting of a whole

family of lines with a standard direction coefficient. The
different values of the objective function are represented by
corresponding parallel lines.

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 Cont’d…

5. The function line moves in parallel with herself to the direction where
her value increases (or decreases if the aim is its minimization), until it
meets with the part of the level which is the intersection of all
constraints. From the family of lines meeting the intersection of the
constraints, only the lines crossing the intersection vertices are
considered.

6. The values of the lines crossing the intersection vertices are

calculated. The vertex, from which passes the line with the highest
(smallest in minimization problems) value is the optimum solution of
the problem. The values of the variables consisting the optimum
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solution are the coordinates of this vertex.
 Graphical Analysis – the Feasible Region

X2

The non-negativity constraints

X1

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 Example 1: A Simple Maximization Problem

Objectiv
Max 5x1 + 7x2 e
Function
s.t. x1 < 6
“Regular”
2x1 + 3x2 < 19 Constraint
x1 + x2 < 8 s
Non-
x1 > 0 and x2 > 0 negativity
Constraints

37
 Example 1: Graphical Solution
First Constraint Graphed
x2

8
7 x1 = 6
6 Shaded region
contains all
5 feasible points
4 for this constraint
3
2
(6, 0)
1
x1
1 2 3 4 5 6 7 8 9 10
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 Example 1: Graphical Solution
Second Constraint Graphed
x2

8 (0, 6 1/3)
7
6
5
2x1 + 3x2 = 19

4
Shaded
3
region contains
2 all feasible points (9 1/2, 0)
1 for this constraint
x1
1 2 3 4 5 6 7 8 9 10
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 Example 1: Graphical Solution
Third Constraint Graphed
x2
(0, 8)
8
7
6 x1 + x2 = 8
5
4
Shaded
3
region contains
2 all feasible points
1 for this constraint (8, 0)
x1
1 2 3 4 5 6 7 8 9 10
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 Example 1: Graphical Solution
Combined-Constraint Graph Showing Feasible Region
x2

8
x1 + x2 = 8

7
6 x1 = 6
5
4
3
Feasible 2x1 + 3x2 = 19
2
Region
1
x1
1 2 3 4 5 6 7 8 9 10
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 Example 1: Graphical Solution
Objective Function Line
x2

8
7
(0, 5)
6 Objective Function
5 5x1 + 7x2 = 35
4
3
2
(7, 0)
1
x1
1 2 3 4 5 6 7 8 9 10
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 Example 1: Graphical Solution
 Selected Objective Function Lines
x2

8
7
5x1 + 7x2 = 35
6
5 5x1 + 7x2 = 39
4
3 5x1 + 7x2 = 42
2
1
x1
43 1 2 3 4 5 6 7 8 9 10
 Example 1: Graphical Solution
Optimal Solution
x2
Maximum
Objective Function Line
8
5x1 + 7x2 = 46
7
6 Optimal Solution
(x1 = 5, x2 = 3)
5
4
3
2
1
x1
1 2 3 4 5 6 7 8 9 10
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Example 2
An aggregate mix of sand and gravel must contain no
less than 20% no more than 30% of gravel. The in situ
soil contains 40% gravel and 60% sand. Pure sand may
be purchased and shipped to site at 5 units of
money /m 3. A total mix of at least 1000 m 3 is
required. There is no charge for using in situ material.
 The objective is to minimize the cost
Draw the feasible region
Determine the optimum solution by the graphical
method
Solution
 Total quantity of material needed = 1000 m 3
 Min. quantity of gravel in the mix = 0.20 x 1000 = 200 m 3
 Max. quantity of gravel in the mix = 0.30 x 1000 = 300 m 3
 Let the decision variables be as follows:
x1 : Quantity of material from in situ
x2 : Quantity of material from outside
 The objective is to minimize the cost, z,
Min z = 5*x2
 The constraints are:
x1 + x2 ≥ 1000
0.4x1 ≥ 200
0.4x1 ≤ 300
x1 , x2 ≥ 0
Solution
 Optimum solution:
x 1 = 750
x 2 = 250
Amount of gravel = 300
m3 from in situ
Amount of sand = 700 m3;
450 m 3 from in situ and
250 m 3 from outside.
Properties of linear programming solution
Feasible solution . If all the constraint of the given linear

programming model are satisfied by the solution of the model,

then that solution is known as a feasible solution, .

Optimal solution .If there is no other superior solution to the

solution to obtained for a given linear programming model, then

the solution obtained is treated as the optimal solution .

Alternate optimal solution . For some linear programming

model ,there may be more than one combination of values of the

decision variables yielding the best objective function values .
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Cont…

Unbounded solution . For some linear programming model,

the objective function value can be increased/decreased infinity

without any limitation.

Infeasible solution . If there is no combination of the values of

the decision variable satisfying all the constraints of the linear

programming model, then that model is said to have infeasible
solution .
This means that there is no solution for the given model which

can be implemented .
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 Unbounded solution: Graphical representation

Situation: If the feasible region

is not bounded

Solution: It is possible that the

value of the objective function
goes on increasing without
leaving the feasible region,
i.e., unbounded solution

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 Multiple solutions: Graphical representation

Situation: Z line is parallel to

any side of the feasible
region

Solution: All the points lying

on that side constitute
optimal solutions

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 Infeasible solution: Graphical
representation

Situation: Set of constraints does

not form a feasible region at
all due to inconsistency in the
constraints

Solution: Optimal solution is not

feasible

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 Unique feasible point: Graphical representation

Situation: Feasible region consist

of a single point. Number of
constraints should be at least
equal to the number of
decision variables

Solution: There is no need for

optimization as there is only
one feasible point

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 EXERCISE

Solve the following LP problems graphically

1. Maximize Z= 20x1+80x2 3. Maximize Z= 20x1+30x2

subject to 4x1 + 6x2 ≤ 90
subject to 2x1 + x2 ≤ 40
8x1 + 6x2 ≤ 100
5x1 + 4x2 ≤ 80 4x1 - x2 ≤
x1 and x2 ≥ 0 20
x1 ≤
2. Minimize Z= 20X1+ 10X2
30
subject to x1 + 2x2 ≤ 40
x1 and x2
3x1 + x2 ≥ 30
4x1 + 3x2 ≥ 60 ≥0
x1 and x2 ≥ 0
4. Minimize Z= 6X1+ 14X2
subject to 5x1 + 4x2 ≥ 60
3x1 + 7x2
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≥ 84
 Assignment (20%) Explain briefly the following LP problems.
1. A concrete manufacturer is concerned about how many units of two types of concrete elements
should be produced during the next time period to maximize profit. Each concrete element of
type “A” generates a profit of $60, while each element of type “B” produces a profit of $40.
Two and three units of raw materials are needed to produce one concrete element of type A and
B, respectively. Also, four and two units of time are required to produce one concrete element of
type A and B respectively. If 100 units of raw materials and 120 units of time are available.
formulate a linear programming model for this problem to determine how many units of each
type of concrete elements should be produced to maximize profit.

2. A contractor may purchase material from two different sand and gravel pits. The unit cost of
material including delivery from pits 1 and 2 is $50 and $70 per cubic meter, respectively, the
contractor requires at least 100 cubic meter of mix. The mix must contain a minimum of 30%
sand. Pit 1 contains 25% and pit 2 contains 50% sand. If the objective is to minimize the cost of
material, A. Draw the feasible region B. Determine the optimum solution by the graphical
method

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 End of
Chapter four

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