Management Science
 is a broad interdisciplinary study of solving problems and decision
making in human, organizations, with strong links to management,
economics, business, engineering, management consulting, and other
fields.
 helps businesses to achieve goals using various scientific methods.
 One of the scientific methods is Linear Programming.
Linear Programming
 refers to planning through the use of a linear relationship of the
variables involved
 it applies mathematical techniques to find the best possible solution to
problems in spite of limited resources
 it helps maximize profit and minimize cost without violating the
limitation or restrictions of variables
Methods in Solving LP
1) Graphical Method – only two variables are involved
2) Simplex Method – more than two variables are involved; most common
method
Two parts of Linear Programming
OBJECTIVE FUNCTIONS
 it is a mathematical expression introduced by the word maximize or
minimize
 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
CONSTRAINTS
 limitation or restrictions and introduced by the word subject to
 Physical, economic, technological, legal, ethical, or other limits on what
numerical values can be assigned to the decision variables.
Types of Constraints
A. Capacity constraints - These are limitations on the amount of equipment,
space, warehouses or stuff availability.
B. Market constraints - These are limitations on the market size or the number
of potential buyers.
C. Availability constraints - These are limitations on the available raw
materials, labor, funds, or other resources.
D. Quality or Blending Constraints - These are limitations on the mixes of
ingredients, usually defining the output of products.
E. Production Technology or Material Balance Constraints - These are
limitations that define the output of some processes as the function of inputs,
often loss or scrap.
F. Definitional constraints – These are constraints that define a given variable,
often such constraints came from accountancy definitions.
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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 pounds of product j that a company
will produce during some month. Decision variables take on any of a set of
possible values
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OPTIMUM SOLUTION – it makes the objective function as large as possible
(maximization process) and as small as possible (minimization process)
FEASIBLE SOLUTION – set of all points in the graph satisfying the constraints
How to do LP Model
1)Represent the unknown value in the problem by a variable. If necessary,
tabulate the data to form mathematical sentences.
2) Formulate the objective function and constraints.
3) Graph the constraints to determine the feasible region.
4) Solve the coordinates of the intersecting lines.
5) Substitute the coordinates at the vertices of the feasible region in the
objective function.
6) From the values of coordinates at the vertices, the decision will rely on
either the highest or lowest value

Example:
Q & Q Inc., a manufacturer of photographic products, prepares two types of
film developers each day: fine and extra fine, using solutions A and B as raw
material. Suppose that each quart of fine contains 2 oz of solution A and 1 oz
of solution B while each quart of extra fine contains 1 oz of solution A and 2
oz of solution B. Suppose also that the profit is P80 for each quart of fine and
P100 for each quart of extra fine. If the firm has 50 oz of solution A and 70 oz
of solution B available each day, how many quarts of fine and how many
quarts of extra fine should be made daily to maximize the profit?