Chapter2
Introduction to Optimization
and Linear Programming
1
Introduction
We all face decision about how to use
limited resources such as:
Oil in the earth
Land for dumps
Time
Money
Workers
2
Chapter6
Integer Linear Programming
1
Introduction
When one or more variables in an LP problem
must assume an integer value we have an
Integer Linear Programming (ILP) problem.
ILPs occur frequently
QMDS300
Quantitative Decision
Analysis
1
Chapter1(Ragsdale)
Introduction to Modeling
and Decision Analysis
2
Introduction
We face numerous decisions in life &
business.
We can use computers to analyze
The Shortest Path Problem (Sec. 5.2)
Many decision problems boil down to
determining the shortest (or least costly) route
or path through a network.
Ex. Emergency Vehicle Routing
This is a special
Managerial Decision
Modeling
6th edition
Cliff T. Ragsdale
Chapter7
Goal Programming and
Multiple Objective
Optimization
Introduction
Most of the optimization problems considered to
this point have h
The Maximal Flow Problem
In some network problems, the objective is to
determine the maximum amount of flow that can
occur through a network.
The arcs in these problems have upper and
lower flow lim
Chapter 5
Network Modeling (I)
Introduction
A number of business problems can be
represented graphically as networks.
This chapter focuses on several such problems:
Transshipment Problems
Shortest P
A Contract Award Problem
B&G Construction has 4 building projects and
can purchase cement from 3 companies for the
following costs:
Co.1
Co.2
Co.3
Needs
(tons)
Max.
CostperDeliveredTonofCement
Projec
Sensitivity Analysis (III) and
the Simplex Method
1
The Simplex Method
To use the simplex method, we first convert all
inequalities to equalities by adding slack
variables to <= constraints and subtr
Chapter3,Part3
More Examples on Modeling
and Solving LP Problems in a
Spreadsheet
1
Benchmarking schools
Outputs
n
1
2
3
4
School
A
B
C
D
1
86
82
81
81
2
75
72
79
73
I nputs
3
71
67
80
69
1
0.06
0.05
Chapter3,Part1
Modeling and Solving LP
Problems in a Spreadsheet
Introduction
Solving LP problems graphically is only
possible when there are no more than two
decision variables
Few real-world LP ha
Chapter3,Part2
More Examples on Modeling
and Solving LP Problems in a
Spreadsheet
1
A Blending Problem:
The Agri-Pro Company (Sec.3.12)
Agri-Pro has received an order for 8,000 pounds of
chicken feed
Sensitivity Analysis (II)
1
Sensitivity Report
Report Created: 2012/2/24 ? ? 12:45:04
Engine: Standard LP/Quadratic
Objective Cell (Max)
Cell
Name
$D$6 Unit Profits Total Profit
Final Value
66100
Deci
Chapter4
Sensitivity Analysis (I)
1
Introduction
When solving an LP problem we assume
that values of all model coefficients are
known with certainty.
Such certainty rarely exists.
Sensitivity analy