๐Ÿ“˜ Linear Programming: A Guide with Solved Examples

๐ŸŒŸ Introduction

In business, supply chains, finance, manufacturing, agriculture, transport, and even daily planning, we constantly face situations where resources are limited. Linear Programming (LP) is one of the most powerful mathematical tools to allocate scarce resources optimally.

From choosing the best product mix, minimizing transportation costs, or optimizing crop planning, LP turns complex decisions into solvable mathematical models.


๐Ÿ” What is Linear Programming?

Linear Programming (LP) is a mathematical optimization technique used to determine the best possible outcome under a set of linear constraints.

In simple terms:

Linear Programming helps you maximize profit or minimize cost while satisfying certain resource limitations.


๐ŸŽฏ Components of a Linear Programming Model

Any LP model consists of four key components:

1๏ธโƒฃ Decision Variables

These represent the choices to be made.
Example:

2๏ธโƒฃ Objective Function

This is what you want to maximize (profit) or minimize (cost).

Example:

3๏ธโƒฃ Constraints

These represent the resource limitations.

Examples:

  • Machine hours
  • Budget limits
  • Labor
  • Raw materials

These constraints must be linear, e.g.,

4๏ธโƒฃ Non-negativity Constraints

Since negative production is impossible:


๐Ÿงฑ Mathematical Structure of an LP Model


๐Ÿงฎ Solved Example 1: Product Mix Optimization (Graphical Method)

A company produces two products, A and B.

ResourceProduct AProduct BAvailability
Machine Hours23120
Labor Hours32100

Profit:

  • Product A: โ‚น40
  • Product B: โ‚น50

Step 1: Convert constraints to lines


Step 2: Identify corner points

The feasible region corner points are:

  1. (0, 0)
  2. (0, 40)
  3. Intersection of both constraints
  4. (33.33, 0)

Step 3: Solve intersection point


Step 4: Evaluate objective function

PointProfit Z
(0, 0)0
(0, 40)2000
(33.33, 0)1333.2
(12, 32)40ร—12 + 50ร—32 = 800 + 1600 = 2400

โญ Optimal Solution

Produce:

  • 12 units of A
  • 32 units of B

Maximum Profit = โ‚น2400


๐Ÿงฎ Solved Example 2: Diet Optimization Problem

A person wants to meet nutritional needs at minimum cost.

Food A and B provide nutrients as:

NutrientFood AFood BRequirement
Protein42โ‰ฅ 12
Carbs24โ‰ฅ 12
Costโ‚น6โ‚น8Minimize

โœ” Decision variables

x = units of Food A
y = units of Food B



Solve intersections


Evaluate cost:

  • (3,0): 6ร—3 = 18
  • (0,3): 8ร—3 = 24
  • (2,2): 6ร—2 + 8ร—2 = 28

Minimum is actually 18 at (3,0).

โญ Optimal Solution

Eat:

  • 3 units of Food A
  • 0 units of Food B

Minimum cost = โ‚น18


๐Ÿ“Š Applications of Linear Programming

IndustryLP Application
ManufacturingProduct mix, job scheduling
LogisticsTransportation & routing
AgricultureCrop planning, fertilizer allocation
EnergyGrid optimization
FinancePortfolio optimization
MarketingBudget allocation
HealthcareStaff scheduling, resource planning

๐Ÿ”ง Solving LP in Python (PuLP)


๐Ÿงพ Final Takeaways

โœ” LP is one of the most widely used optimization tools.
โœ” Helps allocate limited resources optimally.
โœ” Works best when relationships are linear.
โœ” Solvable using both graphical method (2 variables) and Simplex Method (many variables).


๐Ÿ“š Further Reading

  • Fred Hillier & Gerald Lieberman โ€“ Introduction to Operations Research
  • Bazaraa, Jarvis & Sherali โ€“ Linear Programming and Network Flows
  • Winston โ€“ Operations Research: Applications and Algorithms

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