Nutritional Cost Optimization Model
Nutritional Cost Optimization Model
Modeling
Problem 1
Each gallon of milk, pound of cheese, and pound of apple
they provide a known number of milligrams of
proteins and vitamins A, B, and C. The following table includes
these data with the daily requirements of the
nutritional ingredients. The table also includes the
minimum amount of each food that must be included in the
food and its cost.
Leche, mg/gal Queso, mg/lb Apples, Minimum requirement
mg/lb diary, mg
Proteins 40 30 10 80
Vitamin A 50 50 30 60
Vitamin B 20 30 40 50
Vitamin C 30 50 60 30
Minimum quantity 0.5 gal 0.5 lb 0.5 lb
Unit cost (S/.) 2.15 2.25 1.25
Restrictions
Problem 4
Una compañía mezcla 3 aditivos A1, A2y A3to one
base in different proportions to obtain
different ink colors. Red ink is obtained
mixing A1A2y A3in the proportion of 3:1:2;
the blue ink - 2:3:4 and the green - 1:2:3. After
mix these additives, a quantity is added
same base for each color. The company
currently has 1000 gallons of A11500 of
A22000 of A3and 4000 as a base. Given that the
the selling price per gallon of each type of ink is
the same, develop a model to determine
how these resources should be used for
obtain the maximum income.
Solution
a) Decision variable
•TRGallons of red ink
TAGallons of blue ink
•TVGallons of green ink
•BRBase for red ink
•BABase for blue ink
•BV Base for green ink
•XR1Gallons of additive A1 for red ink
•XR2Gallons of A2 additive for red ink
•XR3Gallons of A3 additive for red ink
•XA1 gallons of additive A1 for blue ink
•XA2Gallons of A2 additive for blue ink
•XA3Gallons of A3 additive for blue ink
XV1Gallons of A1 additive for green ink
•XV2Gallons of A2 additive for green ink
•XV3Gallons of A3 additive for green ink
Function
Goal: Maximize Revenue
c) Restrictions
No negativity
Pr. 5
The diagram of a very simplified oil refinery is
shown in the figure.
NLV
Raw GE
NPV
DV
NC GC
PCL
PCP
PD
The refinery produces:
special gasoline (GE) sold at $50/barrel with a higher octane rating
or the same as 95
regular gasoline (RG) sold at $45/barrel with an octane rating
mayor o igual que 89
• diesel oil (DO) sold at $25/barrel with a number of
pollution not exceeding 55.
The specifications of each component of the mixture are the
next:
NLV
Raw GE
NPV
DV
NC GC
PCL
PCP
PD
Restrictions
GE
Volume: NLVge + NCge >= 25000
•Octane: 92NLVge + 97NCge >= 95(NLVge + NCge) or 2NCge >= 3NLVge
GC
Volume: NLVgc + NPVgc + NCgc + PCLgc >= 10000
Octane: 92NVLgc + 97NCgc + 84NPVgc + 88PCLgc >=
89(NVLgc + NCgc + NPVgc + PCLgc) o 3NLVgc+8NCgc>=5NPVgc+PCLgc
•PD
Volume: PCLpd + PCPpd >= 30000
Contamination: 59PPCpd + 50PLCpd <= 55(PPCpd + PLCpd) or 4PCPpd <= 5PCLpd
• Catalytic separation capacity: NPVc + DVc <= 50000
Crude oil distillation capacity: Cr <= 100000
Material Balance:
NLVge + NLVgc = 0.2Cr
NPVp + NPVgc = 0.5Cr
DVp = 0.3Cr
NLCge + Ncge = 0.7NPVc + 0.1DVc
PCLgc + PCLpd = 0.4NPVc + 0.3DVc
PCLpd = 0.2NPVc + 0.7DVc
Problem 6
A company receives annual orders from 4 countries: Japan, South Korea, Taiwan, and Mexico.
for two distinct types of steel that it produces: high caliber and low caliber.
These steels are produced in their 2 plants, located in cities 1 and 2, using
iron ore supplied by two mining companies K and M. The management
needs a comprehensive annual plan for purchasing / production / distribution to minimize
the total costs.
Various departments have gathered the necessary data regarding
sales commitment, availability and cost of the mineral, characteristics of
production and distribution costs of the mineral and finished steel. The company
You can obtain up to 1000 tons of grade A iron ore from mine K.
up to 2000 tons of grade B iron ore from mine M. The company
Can you specify how much of each mineral should be shipped to each of your two?
plants. The associated purchase cost and shipping charge per ton are given
in the following table:
Plant
City 1 City 2
High gauge steel 32 39
Low gauge steel 27 32
Finished steel is shipped to Japan, Korea, Taiwan, and Mexico. Division
International sales has received an order for each type of steel, which is
they show in the following table, this table also includes the costs of
shipment per ton for each type of steel:
• Demand and unit shipping costs of steel
City 2
M
L1
K
M H2
L2
L1
K
Korea
M H2 Taiwan
L2
Mexico
N R B Availability
Malta 2 1 2 30
Yeast 1 2 2 45
Benefits 4 7 3
SOLUTION
Step No. 1: Define the decision variables
•X1production in liters of (N) per day
•X2production in liters of (R) per day
•X3production in liters of (B) per days
A plan to produce, X1liters of N, X2liters of R and X3liters of B are
denomination PLAN OR PRODUCTION PROGRAM
Step No.2: The objective function that will provide the daily profit is:
MAX (Z) = 4 X1+ 7 X2+ 3X3, that is
(benefits per unit of N x liters of N produced per day) + (benefits for
R unit x liters of R produced per day) + benefits per unit of B x
liters of B produced per day
•Paso Nº3:Restricciones
Observing the first row of the daily availability table
(resources used) (available resources)
It is given:
•2 X1+ X2+ 2X3 30 (Malta)
•X1+ 2X2+ 2X3 45 (yeast)
Non-negativity condition
Invalid input 0 (j = 1,2,3)
It can be concluded that the allocation problem
of resources or production planning, it is
where 2 resources (malt and yeast) are used for
manufacture three products (beers N, R, and B) that
different benefits are reported per liter.
MAX (Z) = 4 X1+ 7 X2+ 3X3
•s.a. 2 X1+ X2+ 2X3 30 (Malta)
•X1+ 2X2+ 2X3 45 (yeast)
• Xj 0 (j = 1,2,3)
EXERCISE N°4
MIXING PROBLEM
To produce a certain metal alloy that requires copper,
tin and zinc, three types of alloy of these three metals will be mixed,
available in the market: A, B, and C.
Each pound of the desired final alloy must contain at least 20%.
of copper, no more than 45% of tin and the proportion of zinc must be
30%. The characteristics of the alloys A, B, and C are:
A B C
% copper 30% 10% 70 %
% tin 50% 60% 10 %
% five 20% 30% 20%
Costs $ 130 $ 110 $90
SOLUTION
Sea
X1proportion of A in 1 pound of alloy
X2= proportion of B in 1 pound of alloy
X3proportion of C in 1 pound of alloy
MIN (W) = 130 X1+ 110 X2+ 90 X3
s.a.
0.30 X1+ 0.10 X2+ 0.70 X30.20
0.50 X1+ 0.60 X2+ 0.10 X3< 0.45
0.20 X1+ 0.30 X2+ 0.20 X3= 0.30
X1+ X2+ X3 = 1
Xj 0 j= (1,2,3)
EXERCISE N°5:
PRODUCTION PROBLEM
In a plant, 4 products (Pi) are manufactured for purification.
water in a pool from 3 raw materials. The table that is
presents below, delivers the units of raw materials
necessary for the manufacture of each unit of product thus
as the unit benefits and availability of materials
cousins.
P1 P2 P3 P4 Availability
M1 3 2 4 5 700
M2 2 0 3 4 600
M3 5 1 2 1 900
Benefit 7 5 9 8
It is requested to formulate the PPL that allows determining how much is owed.
to manufacture each product to obtain the highest profit
possible.
SOLUTION
Step 1: Definition of variables
•X1quantity of product 1
•X2quantity of product 2
X3quantity of product 3
•X4product quantity 4
Decision: Amount of P1, P2, P3y P4to produce for
to have a greater utility or benefit.
Step No. 2: Objective function and constraints
MAX (Z) = 7 X1+ 5 X2+ 9 X3+ 8 X4
s.a. 3 X1+ 2 X2+ 4 X3+ 5 X4 700
•2 X1 + 3 X3+ 4 X4 600
•5 X1+ 1 X2+ 2 X3+ 1 X4 900
•Xj 0 j = (1,2,3,4)
EXERCISE NO. 6:
"ASSIGNMENT PROBLEM"
Suppose that England, France, and Spain produce all the wheat, barley and
oats in the world. The global demand for wheat requires that it be allocated
130 million acres to the production of this cereal. Likewise, it
They need 60 million acres for barley and 70 million for oats.
the total amount of land available in the three countries is 70 million acres in
England, 110 million acres in France and 80 million acres in Spain.
The number of hours of labor required in England, France, and Spain
To produce an acre of wheat, it takes 18, 13, and 16 hours, respectively. The
producing an acre of barley requires 15 hours of labor in
England, 12 in France and 12 in Spain. The number of hours of labor
the necessary amount to produce two acres of oats is 24 in England, 20 in
France and 32 in Spain. The cost of labor per hour in the three countries
respective are $3.00, $2.40, and $3.30 for wheat production $270, $3.00 and
$2.80 for barley production and $2.30, $2.50, and $2.10 for production
of oats.
The problem of assigning land use in each country in a way that meets
with the food requirements in the world and minimize the cost
total labor cost.
Step No. 1: Definition of decision variables
•X1Amount of wheat produced by England
•X2Amount of wheat produced by France
•X3 Amount of wheat produced by Spain
•X4Amount of barley produced by England
•X5Amount of barley produced by France
•X6Amount of barley produced by Spain
•X7Amount of oats produced by England
•X8Quantity of oats produced by France
•X9Amount of oats produced by Spain
Decision: minimize operating costs
Step No. 2: Objective function and constraints
MIN (W) = (18 x 3) X1(13 x 2.4) X2(16 x 3.3) X3(15 x 2.7) X4(12 x 3) X5+
(12 x 2.8) X6(12 x 2.3) X7+ (10 x 2.5) X8(16 x 2.1) X9
MIN (W) = 54 X1+ 31.2 X2+ 52.8 X3+ 40.5 X4+ 36 X5+ 33.6 X6+ 27.6 X7+ 25 X8
+ 33.6 X9
Limited Company
=2 +
And taking into account the first of the equations:
200 100
=2 + =2 + ⇒ ′= +
The minimum value of L' (or what is equivalent to L) will be given when it is nullified.
first derivative, that is to say:
′ 100 100
= ( + = 1−
) 2
= 0⇒ 2− 100= 0⇒ = ±10
And from the first equation, we obtain:
= ⋅ = 200⇒ = 200/ = 200/10= 20
That is to say, the linear meters of wire mesh that we should use for a cost
the minimum is 40 distributed in + + = 10+ 10+ 20.
EXERCISE 10
La Nori&Leets Co., one of the largest steel producers in the world
occidental está localizada en la ciudad de Steeltown y es la única
large company in the locality. The community has grown and prospered
together with the company, which currently employs about 50,000
residents. The attitude of the inhabitants has always been a 'what it is
good for Nori&Leets is good for us". However, this
attitude is changing, uncontrolled air pollution due to
the blast furnaces of the plant are on their way to ruining the appearance
from the city and endangering the health of its inhabitants.
As a result, after a revolt among the shareholders, it was elected
a new more responsible board of directors. The new directors have
decided to pursue social responsibility policies and hold discussions with
the city authorities and with groups of citizens to take
measures regarding environmental pollution. Together they have
established rigorous air quality standards for the city of
Steeltown.
The three main types of pollutants are particulate matter,
sulfur oxides and hydrocarbons. The new standards require that
the company reduces its annual emissions of these pollutants in the
amounts presented in table 1. The board of directors has given
instructions to management for the engineering staff
determine how to achieve these reductions in the most economical way.
The steel manufacturing has two main sources of pollution:
the blast furnaces to produce pig iron (steel ingots) and the furnaces
Siemens-Martín to transform iron into steel. In both cases the
engineers determined that the most effective reduction methods
["1) increase the height of the chimneys,","2) use filters (with traps"]
of gas) in them and 3) include high-grade cleaners in the fuels
from the furnaces. All these methods have technological limitations in
as for the level at which they can be used; for example, an increase
maximum feasible height of the chimneys, but there is also a
great flexibility to use the method at any fractional level of
its technological limit.
Table 2 shows the amount of emissions (in millions of pounds per year)
what can be eliminated from each type of oven through the use of
maximum technological limit reduction method. For the purposes of
analysis is supposed that each method can be used at a lower level to
achieve any fraction of reduction of the emission rates that
they present in this table. Furthermore, the fractions can be different.
for the blast furnaces and the Siemens-Martin furnaces, and the simultaneous use of
another method does not significantly affect the reduction of emissions
that each of them reaches.
After obtaining this data, it became clear that no method whatsoever
I could only achieve the required reductions. On the other hand, the
combination of the three methods to their full capacity - what it would be
too expensive if you want the products to have prices
competitiveness generates a much higher result than what is
ask. For all this, the engineers' conclusion was that they should use
some combination of methods, perhaps with fractional capabilities
based on their relative costs. Even more so, due to the differences between
the blast furnaces and the Siemens-Martin furnaces, it is likely that the
the combination should be different for each type of oven.
An analysis was conducted to estimate the total annual cost of each
method of depreciation. The annual cost of a method includes the
increase in operating and maintenance expenses as well as the
reduction of life income to any loss of efficiency in the
production process that can generate the use of the method. The other
An important cost is the initial fixed cost (the initial capital) that is required.
to install the method. To make this one-time cost be
commensurate with the annual costs, the value of money was used in the
time to calculate annual expenses (based on expected lifetime)
of the method) that would be equivalent to this initial fixed cost.
The analysis allowed for an estimation of the total annual costs in millions of
dollars presented in table 3., which are incurred when using the
methods to their full capacity for reduction. It was also determined
that the cost of a method that is used at a lower level is
essentially proportional to the fractional capacity of the capacity
of the reduction achieved, an aspect that is presented in table 2.
So, for any fraction that is achieved, the total annual cost would be
essentially the fraction of the corresponding amount from table 3.
At this stage, everything is ready to develop the general framework of
company plan to reduce pollution. This plan
specify what kind of reduction methods should be used
and what fractions of their capacity for: 1) the blast furnaces and 2)
the Siemens-Martin furnaces. Due to the combinatorial nature
from the problem of finding a plan that meets the requirements
at the lowest possible cost, a research team was formed
operations to solve it. The team decided to focus on the
problem from a linear programming perspective and it must
formulate a mathematical model.
Solution
The decision variables
ChAl = Fraction of maximum use of taller chimneys for blast furnaces.
ChHo = Fraction of maximum use of taller chimneys for furnaces
Siemens- Martins.
FiAl = Fraction of maximum filter use for blast furnaces.
FiHo = Fraction of maximum filter usage for Siemens-Martins ovens.
MeAl = Fraction of maximum use of better fuels for blast furnaces.
MeHo = Fraction of maximum use of best fuels for furnaces
Siemens- Martins..3
Objective function
Minimize the total cost of pollution reduction
through abatement [Link] is, Minimize (Cost of
method of taller chimneys for blast furnaces + cost of the method
taller chimneys for Siemens-Martins ovens + cost of the filter method
for blast furnaces + cost of the filter method for Siemens-Martin furnaces +
cost of the best fuels method for blast furnaces + cost of the method
of the best fuels for Siemens-Martins ovens
Minimize 8 ChAl + 10 ChHo + 7 FiAl + 6 FiHo + 11 MeAl + 9 MeHo
•
The restrictions
Required annual reduction of particulate emissions
The required reduction in particle emissions is 60 million pounds
[Link] of the emission rate using the method of taller chimneys to
high furnaces + reduction of the emission rate using the method of taller chimneys for
SiemensMartins ovens + reduction of the emission rate using the high filters method
furnaces + reduction of the emission rate using the filter method for Siemens-Martin furnaces
reduction of the emission rate using the method of better fuels for blast furnaces
reduction of the emission rate using the best fuels method for Siemens furnaces
Martins) must be greater than or equal to 60 million pounds.
•12 ChAl + 9 ChHo + 25FiAl + 20FiHo +17MeAl + 13MeHo >= 60
•35 ChAl + 42 ChHo + 18FiAl + 31FiHo +56MeAl + 49MeHo >= 150
37 ChAl + 53 ChHo + 28 FiAl + 24 FiHo + 29 MeAl + 20 MeHo >= 125
Technological efficiency of the methods
The maximum technological efficiency of the method of taller chimneys for
high furnaces are at 100%.
•ChAl <= 1
•ChHo <= 1
•FiAl <= 1
•FiHo <= 1
•MeAl <= 1
MeHo <= 1
Logical restrictions
ChAl, ChHo, FiA, FiHo, MeAl and MeHo >= 0
EXERCISE 11
•EL PROBLEMA DE ASIGNACIÓN DE CONTAINERS [Link],Inc.,
factory containers of many sizes and shapes. Recently has
received orders to produce various quantities of containers of
Kitchens of five different sizes. Each container size.
it can be produced on any of four machines. Due to the
different technologies and disposal times, the total number of hours,
including the processing time required for each
the container size in each machine varies, as shown in the
Table 2. In the table, the container size is indicated in the first
column by its height and diameter in inches.
Modify a machine to change the size of a container
it takes a long time, so management has decided that each machine
it will produce containers of a single size. Therefore, only
They will produce four of the five sizes on the four machines.
available within the assigned deadline. As the income from
each container size is approximately the same, the management
Containers, Inc. is indifferent as to which of the five orders
not satisfy. As the manager of the production department, you have been
request to determine which four of the five orders to accept and
develop a production plan that minimizes time
total processing to fulfill those orders.
Solution
Regarding the problem of Containers, Inc., it is necessary to add a fictitious machine.
Now there are five orders and five machines, resulting in a problem of
balanced assignment.
Remember that machine 5, in fact, does not exist. The containers assigned to this
machines are not produced and therefore do not contribute anything to the total time of
processing.
EXERCISE 12
Production planning problem of Ananea Gold Pump
Ananea Gold Pump Corporation has three branch plants with
excess production capacities. The three plants have the
necessary elements to produce different sizes of
bombs and the manager has decided to use part of the capacity of
excess production for this purpose. The pumps can be manufactured in
three sizes: large, medium, and small, which result in
a net unit utility of $140, $120, and $100 respectively. The
plants 1, 2, and 3 have the capacity for labor and equipment in
excess to produce 750, 900, and 450 units per week of
this product, respectively, regardless of size or
combination of sizes that applies. However, the space of
available storage for products in process as well
imposes a limitation on production rates. Plants 1, 2 and
3 have 13000, 12000, and 5000 square feet of space.
available storage for products in process, for a
production week. Each unit of the large and medium sizes
and small produced per week requires 20, 15, and 12 feet
squares respectively.
Sales forecasts indicate that they can be sold weekly
900, 1200 y 750 bombas de los tamaños grande, mediano y pequeño.
In order to maintain a uniform workload among the
plant and maintain some flexibility, the manager has decided that
The additional production assigned to each plant must use the
same percentage of labor and equipment capacity in
excess.
The manager wants to know how much should be produced of each one
the sizes on each of the floors to maximize profitability.
Solution
The decision variables
To solve the problem we must determine the number of bombs of
different size that each plant must produce.
•X The number of large size bombs that plant 1 must produce
G1
in a week.
X= The number of large size bombs that plant 2 must produce
G2
in a week.
X = The number of large-sized bombs that plant 3 must produce
G3
in a week.
•X= El número de bombas de tamaño mediano que debe producir la planta 1
M1
in a week.
X = The number of medium-sized bombs that plant 2 must produce.
M2
in a week.
•X= El número de bombas de tamaño mediano que debe producir la planta 3
M3
in a week.
•X= El número de bombas de tamaño pequeño que debe producir la planta 1
P1
in a week.
X = The number of small-sized bombs that plant 2 must produce
P2
in a week.
X = The number of small size bombs that plant 3 must produce
P3
in a week.
The data of the problem
The additional production assigned to each plant must use the same percentage of the
excess labor and equipment capacity.
The objective function
Maximize the utility obtained from the sale of bombs of different sizes
Maximize the utility obtained from the sale of large bombs produced in the plants.
production 1, 2 and 3 + profit obtained from the sale of medium pumps produced in the plants of
production 1, 2, and 3 + profit obtained from the sale of small pumps produced in the plants
production 1, 2 and 3
Maximize 140 (XG1+ XG2+XG3) + 120(XM1+ XM2+XM3)+ 100(XP1+ XP2+XP3)
The restrictions
Production capacity of the plant
The production capacity of pumps at plant 1 is 750 units.
•The production of large pumps + The production of medium pumps + The
The production of small pumps is 750 units.
•XG1+XM1+XP1<= 750
Similarly in plants 2 and 3: X +X +X<= 900
G2 M2 P2
•XG3+XM3+XP3<= 450
Storage capacity of the plant
The available storage space for work-in-progress products in plant 1 is
of 13,000 square feet.
The available storage space for (large pumps in process +
medium pumps in process + small pumps in process) from plant 1 is
13000 square feet.
20XG1+ 15XM1+ 12XP1<= 13000
Similarly in plants 2 and 3: 20X +15X + 12X <= 12000
G2 M2 P2