9.4 Linear Programming


Linear programming requires that there be limited resources, that the goal be outcome optimization, that there be alternative ways of combining resources to produce a number of output mixes, and that there be a linear relationship between variables.
Linear programming are used to solve problems such as in selecting transportation routes to minimize shipping costs, allocating a limited advertising budget among various product brands and making the optimal assignment of people among projects.
For complex linear programming problems, managers can use computer software programs designed to specifically help develop optimizing solutions.