Registration Number

INSTRUCTIONS FOR ASSIGNMENT SUBMISSION

1. Completed assignments must be typed and formatted neatly and soft copies should be

uploaded on or before the dates mentioned above. (Feb 15,2013)

2. Ensure that you answer all questions according to the marks allocated. 3. Content that has been directly copied from the Internet or the Book will NOT be accepted.

4. Please attempt all the assignments individually and independently. Assignments that

have

been copied and shared among students will be automatically rejected and

disqualified.

5. Please attach correct assignments to correct subjects. Incase of any errors the student will be

marked absent for the specific subject

6. Late submissions will NOT be accepted. 7. Follow assignment format and complete all the details for each assignment individually. 8. Roll no/Registration Number found mentioned anywhere else except the place provided, the

assignments will be rejected.

9. Incase students extra details like contact number, Name found listed anywhere on this

document, the assignments will be rejected.

(Book ID: B1631) Assignment Set - 1 (60 Marks) Note: Assignment Set -1 must be written within 6-8 pages. Answer all questions.
Q1. a. What do you mean by linear programming problem? Explain the steps involved in linear programming problem formulation? Ans 1 a) Linear programming is a mathematical method for determining a way to achieve the best outcome in a given mathematical model for some list of requirements represented as linear relationships. Linear programming is a specific case of mathematical programming . More formally, linear programming is a technique for the optimization of a linear objective function, subject to linear equality and linear inequality constraints. Its feasible region is a convex polyhedron, which is a set defined as the intersection of finitely many half spaces, each of which is defined by a linear inequality. Its objective function is a real-valued affine function defined on this polyhedron. A programming algorithm finds a point in the polyhedron where this function has the smallest value if such a point exists. A few examples of problems in which LP has been successfully applied are:

Developments of a production schedule that will satisfy future demands for a firms product and
at the same time minimize total production and inventory costs. Establishment of an investment portfolio from a variety of stocks or bonds that will maximize a companys return on investment. Allocation of a limited advertising budget among radio, TV, and newspaper spots in order to maximize advertising effectiveness. Determination of a distribution system that will minimize total shipping cost from several warehouses to various market locations. Selection of the product mix in a factory to make best use of machine and man hours available while maximizing the firms profit.

There are mainly four steps in the mathematical formulation of linear programming problem as a mathematical model. We will discuss formulation of those problems which involve only two variables. Identify the decision variables and assign symbols x and y to them. These decision variables are those quantities whose values we wish to determine. Identify the set of constraints and express them as linear equations/in equations in terms of the decision variables. These constraints are the given conditions. Identify the objective function and express it as a linear function of decision variables. It might take the form of maximizing profit or production or minimizing cost. Add the non-negativity restrictions on the decision variables, as in the physical problems, negative values of decision variables have no valid interpretation. There are many real life situations where an LPP may be formulated. The following examples will help to explain the mathematical formulation of an LPP

b. A paper mill produces two grades of paper viz., X and Y. Because of raw material restrictions, it cannot produce more than 400 tons of grade X paper and 300 tons of grade Y paper in a week. There are 160 production hours in a week. It requires 0.20 and 0.40 hours to produce a ton of grade X and Y papers. The mill earns a profit of Rs. 200 and Rs. 500 per ton of grade X and Y paper respectively. Formulate this as a Linear Programming Problem. Ans 1 b) Max Z = 200x1 + 500x2 Subject To X1 400 X2 300 0.20X1 + 0.40X2 160 X1 0 , X2 0 (Quantity constraint) (Quantity constraint) (Time constraint) (Non negativity constraint)

Q2. a. Discuss the methodology of Operations Research. Ans Operations Research Methodology The basic dominant characteristic feature of operations research is that it employs mathematical representations or models to analyze problems. This distinct approach represents an adaptation of the scientific methodology used by the physical sciences. The scientific method translates a given problem into a mathematical representation which is solved and retransformed into the original context. OR methodology consists of five steps. They are - defining the problem, constructing the model, solving the model, validating the model, and implementing the result. 1) Definition The first and the most important step in the OR approach of problem solving is to define the problem. One needs to ensure that the problem is identified properly because this problem statement will indicate the following three major aspects: Description of the goal or the objective of the study Identification of the decision alternative to the system Recognition of the limitations, restrictions, and requirements of the system 2) Construction Based on the problem definition, you need to identify and select the most appropriate model to represent the system. While selecting a model, you need to ensure that the model specifies quantitative expressions for the objective and the constraints of the problem in terms of its decision variables. A model gives a perspective picture of the whole problem and helps in tackling it in a wellorganized manner. Therefore, if the resulting model fits into one of the common mathematical models, you can obtain a convenient solution by using mathematical techniques. If the mathematical relationships of the model are too complex to allow analytic solutions, a simulation model may be more appropriate. Hence, appropriate models can be constructed. 3) Solution After deciding on an appropriate model, you need to develop a solution for the model and interpret the solution in the context of the given problem. A solution to a model implies determination of a specific set of decision variables that would yield an optimum solution. An optimum solution is one which maximizes or minimizes the performance of any measure in a model subject to the conditions and constraints imposed on the model. 4) Validation

A model is a good representation of a system. However, the optimal solution must work towards improving the systems performance. You can test the validity of a model by comparing its performance with some past data available from the actual system. If under similar conditions of inputs, your model can reproduce the past performance of the system, then you can be sure that your model is valid. However, you will still have no assurance that future performance will continue to duplicate the past behavior. Secondly, since the model is based on careful examination of past data, the comparison should always reveal favorable results. In some instances, this problem may be overcome by using data from trial runs of the system. One must note that such validation methods are not appropriate for non-existent systems because data will not be available for comparison. 5) Implementation You need to apply the optimal solution obtained from the model to the system and note the improvement in the performance of the system. You need to validate this performance check under changing conditions. To do so, you need to translate these results into detailed operating instructions issued in an understandable form to the individuals who will administer and operate the recommended system. The interaction between the operations research team and the operating personnel reaches its peak in this phase.

b. Explain in brief the phases of Operations Research. Ans

Phases of Operations Research The scientific method in OR study generally involves three phases. Judgment phase This phase includes the following activities: Determination of the operations Establishment of objectives and values related to the operations Determination of suitable measures of effectiveness Formulation of problems relative to the objectives Research phase This phase utilizes the following methodologies: Operation and data collection for a better understanding of the problems Formulation of hypothesis and model Observation and experimentation to test the hypothesis on the basis of additional data Analysis of the available information and verification of the hypothesis using pre-established measure of effectiveness Prediction of various results and consideration of alternative methods Action phase This phase involves making recommendations for the decision process. The recommendations can be made by those who identify and present the problem or by anyone who influences the operation in which the problem has occurred.

Q3. Solve the following Linear Programming Problem using Simple method. Maximize Z= 3x1 + 2X2 Subject to the constraints: X1+ X2 4 X1+ X2 2 X1, X2 0 Ans

X1 + X2 + S1= 4 X1 X 2 + S 2= 2 -3X1 2X2 + Z= 0 1 1 -3 1 -1 -2 1 0 0 0 1 0 0 0 1 4 2 0

First Pivot Table 0 1 0 2 -1 -5 1 0 0 -1 1 3 0 0 1 2 2 6

Second pivot table 0 1 0 1 0 0 1/2 - 1/2 1/2 1/2 2 1/2 3 Third Pivot Table 0 0 1 1 3 11

X1 = 3, X2 = 1, Max Z = 11

Q4. Explain the procedure of MODI method of finding solution through optimality test. Ans 4 After evaluating an initial basic feasible solution to a transportation problem, the next question is how to get the optimum solution. The basic techniques are illustrated as follows: 1. Determine the net evaluations for the nonbasic variables (empty cells) 2. Determine the entering variable 3. Determine the leaving variable 4. You repeat steps 1 to 3 to till all allocations are over. 5. For allocating all forms of equations ui+ vj = cj, set one of the dual variable ui / vj to zero and solve for others. 6. Use this value to find cij = cij - ui - vj. If all ij 0, then it is the optimal solution. 7. If any ij 0 select the most negative cell and form loop. Starting point of the loop is positive and alternative corners of the loop are negative and positive. Examine the quantities allocated at negative places. Select the minimum, add it to the positive places and subtract from the negative places. 8. Form a new table and repeat steps 5 to 7 till ij 0

Q5. a. Explain the steps in Hungarian method. Ans 5 a

Hungarian Method Algorithm Hungarian method algorithm is based on the concept of opportunity cost and is more efficient in solving assignment problems. The following steps are adopted to solve an AP using the Hungarian method algorithm. Step 1: Prepare row ruled matrix by selecting the minimum values for each row and subtract it from the other elements of the row. Step 2: Prepare column-reduced matrix by subtracting minimum value of the column from the other values of that column. Step 3: Assign zero row-wise if there is only one zero in the row and cross (X) or cancel other zeros in that column. Step 4: Assign column wise if there is only one zero in that column and cross other zeros in that row. Step 5: Repeat steps 3 and 4 till all zeros are either assigned or crossed. If the number of assignments is equal to number of rows present, you have arrived at an optimal solution, if not, proceed to step 6. Step 6: Mark the unassigned rows. Look for crossed zero in that row. Mark the column containing the crossed zero. Look for assigned zero in that column. Mark the row containing assigned zero. Repeat this process till all the makings are done. Step 7: Draw a straight line through unmarked rows and marked column. The number of straight line drawn will be equal to the number of assignments made. Step 8: Examine the uncovered elements. Select the minimum. Subtract it from the uncovered elements. Add it at the point of intersection of lines. Leave the rest as is. Prepare a new table. Step 9: Repeat steps 3 to 7 till optimum assignment is obtained. Step 10: Repeat steps 5 to 7 till number of allocations = number of rows. The assignment algorithm applies the concept of opportunity costs. The cost of any kind of action or decision consists of the opportunities that are sacrificed in taking that action

Q5 B. Solve the following assignment problem. Machine Operators 1235 A 60 50 45 45 B 40 45 55 35 C 55 70 60 50 D 45 45 40 45 Ans b Machine A B C D Machine A B C D 1 60 40 55 45 Operator 2 3 50 45 45 50 70 60 45 40

4 45 35 50 45

Operator 1 2 3 15 5 0 5 10 20 5 20 10 5 5 0 Row Reduced Matrix Operator 1 2 3 10 0 0 0 5 20 0 15 10 0 0 0 Column Reduced Matrix

4 0 0 0 5

Machine A B C D

4 0 0 0 5

Since the no. of assignments is 4. A to 3 45 B to 4 35 C to 1 55 D to 2 45 Total 180 Cost

Q6. a. Explain the steps involved in Vogels approximation method (VAM) of solving Transportation Problem. Ans 6 a) Vogels approximation method The Vogels approximation method (VAM) takes into account not only the least cost cij, but also the cost that just exceeds cij. The steps of the method are given as follows: Step 1 - For each row of the transportation table, identify the smallest and the next to smallest costs. Determine the difference between them for each row. Display them alongside the transportation table by enclosing them in parenthesis against the respective rows. Similarly, compute the differences for each column. Step 2 - Identify the row or column with the largest difference among all the rows and columns. If a tie occurs, use any arbitrary tie breaking choice. Let the greatest difference correspond to the ith row and let Cij be the smallest cost in the ith row. Allocate the maximum feasible amount xij = min (ai, bj) in the (i, j)th cell and cross off the ith row or the jth column in the usual manner. Step 3 - Recomputed the column and row differences for the reduced transportation table and go to step 2. Repeat the procedure until all the rim requirements are satisfied.

b. Solve the following transportation problem using Vogels approximation method. Factories Distribution Centres Supply C1 C2 C3 C4 F1 3 2 7 6 50 F2 7 5 2 3 60 F3 2 5 4 5 25 Requirements 60 40 20 15 Ans Factories F1 F2 F3 Requirements Column Difference Distribution centres c1 c2 c3 c4 3(10) 2(40) 7 6 7(25) 5 2(20) 3(15) 2(25) 5 4 5 60 40 20 15 1 3 2 2 1 x 2 2 5 x 2 2 Supply 50 60 25 135 1 1 2 Row Difference 3 1 2 x 1 2

Total Cost = 2x40 + 3x10 + 2x25 + 7x25 + 2x 20 + 3x15 =420