LAB REPORT # 1-2

OPTIMIZATION TECHNIQUES (OT)

SUBMITTED TO: Dr. Rakhshanda

SUBMITTED BY: Registration No:

2021-IM-34
 TITLE
Obtain the graphical solution of the maximization type linear programming
problem using software.

OBJECTIVE

 This report presents the linear programming analysis conducted using

TORA software to optimize the production plan
 The objective was to maximize profit while adhering to various
constraints such as labor hours and minimum production
requirements.

THEORETICAL BACKGROUND

Linear programming

Linear programming is a technique in algebra that uses linear equations to

determine how to arrive at the optimal situation (maximum or minimum) as
an answer to a mathematical problem, assuming the finiteness of resources
and the quantifiable nature of the end optimization goal.

Applications

Linear programming (LP) has a wide range of applications across various

fields due to its ability to optimize resources and find the best solution to a
problem given certain constraints. Some common applications of linear
programming include:

1. Production planning: Linear programming can be used to optimize

production processes by determining the optimal allocation of
resources such as labor, materials, and machine time to maximize
output while minimizing costs.

2. Supply Chain Management: LP models can optimize supply chain

logistics, including inventory management, transportation scheduling,
and distribution network design, to minimize costs and maximize
efficiency.

3. Financial Portfolio Optimization: LP techniques are used to optimize

investment portfolios by allocating assets to different investment
options to maximize returns while minimizing risk.
 4. Resource Allocation: LP can help in allocating limited resources such as
budget, manpower, and equipment to various projects or tasks to
achieve the best possible outcome.

5. Transportation and Logistics: LP models are used to optimize

transportation routes, scheduling, and vehicle assignments to minimize
transportation costs and improve delivery efficiency.

6. Network Flow Optimization: LP is used to optimize flow through

networks such as telecommunications networks, computer networks,
and transportation networks by maximizing flow while minimizing
costs or congestion.

7. Marketing and Advertising: Linear programming can be used to

optimize marketing and advertising campaigns by allocating budget
across different channels to maximize reach or sales while staying
within budget constraints.

8. Environmental Management: LP techniques can help in optimizing

resource usage and minimizing environmental impact in areas such as
waste management, energy consumption, and pollution control.

9. Sports Scheduling: LP models can be used to optimize scheduling for sports

leagues and tournaments to minimize travel costs, venue conflicts, and other
scheduling constraints.

9. Agricultural Planning: Linear programming can help optimize crop

selection, land usage, and resource allocation in agriculture to
maximize yields and profits while minimizing inputs such as water and
fertilizer. [1]

Maximization Type Problem:

In maximization problems, the goal is to maximize the value of the objective

function while staying within the specified constraints. In Linear
Programming (LP), the objective is to maximize the value of the objective
function Z. For example, in production planning scenarios, the objective
might involve maximizing profit while ensuring that resource constraints are
not exceeded. This requires optimizing the allocation of resources to achieve
the highest possible profit margin within the given constraints.

PROBLEM STATEMENT
The Lifang Wu Corporation manufactures two models of industrial robots, the
Alpha 1 and the Beta 2. The firm employs 5 technicians, working 160 hours
each per month, on its assembly line. Management insists that full
employment (that is, all 160 hours of time) be maintained for each worker
during next month’s operations. It requires 20 labor-hours to assemble each
Alpha 1 robot and 25 labor-hours to assemble each Beta 2 model. Wu wants to
see at least 10 Alpha 1s and at least 15 Beta 2s produced during the production
period. Alpha 1s generate a $1,200 profit per unit, and Beta 2s yield $1,800
each.
Determine the most profitable number of each model of robot to produce
during the coming month.

PROCEDURE

1. Open the TORA software and click on the linear programming

2. Following screen will appear select “Input Mode” and “Input Format”
3. Following window will appear . Enter the number of constraints and
decision variable.

4. The following window will appear. Enter the number of constraints and
decision variables.

5. Save the file and click OK

6. A dialog box will appear click on solve problem and then select Graphical.

7. Select the output format and click on “Go to Output Screen”

8. Click on the equations one by one and a line will appear on the graph

COMMENTS

1. TORA software facilitated the formulation and solution of the linear

programming problem, aiding the Lifang Wu Corporation in making
informed decisions regarding robot production.
2. The optimal production plan identified through this analysis can serve
as a basis for efficient resource allocation and maximizing profitability.

REFERENCE
[1] https://www.spiceworks.com/tech/it-strategy/articles/linear-
programming/#:~:text=Linear%20programming%20is%20a%20technique,of
%20the%20end%20optimization%20goal.