Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept.

‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 1
Introduction

What is Industrial Engineering?

Industrial Engineering is concerned with the design, improvement, and installation of

integrated systems of people, material, equipment, and energy. It draws upon specialized
knowledge and skills in the mathematical, physical and social sciences together with the
principles and method of engineering analysis and design to specify, predict, and evaluate
the results to be obtained from such systems. IE is concerned with performance measures
and standards, research of new products and product applications, ways to improve use of
scarce resources and many other problem solving adventures.

What activities…
 Develop applications of new processing, automation, and control technology.

 Install data processing, management information, wage incentive systems.

 Develop performance standards, job evaluation, and wage and salary programs.

 Research new products and product applications.

 Improve productivity through application of technology and human factors.

 Select operating processes and methods to do a task with proper tools and
equipment

 Design facilities, management systems, operating procedures

 Improve planning and allocation of scarce resources

Areas of Concentration:
– Operation Research – Program Management
– Project Management – Ergonomics/Human Factors
– Manufacturing, Production and Distribution – Technology Development and Transfer
– Supply Chain Management – Strategic Planning
– Productivity, Methods and Process Engineering – Management of Change
– Quality Measurement and Improvement – Financial Engineering

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 2
Decision theory
2.1 Introduction to Game Theory
2.2 Properties of a Game
2.3 Characteristics of Game Theory
2.4 Classification of Games
2.5 Limitations of Game Theory
2.5 Solving Two-Person and Zero-Sum Game

2.1 Introduction to Game Theory

Game theory is a distinct approach to the study of human behavior. The disciplines most
involved in game theory are mathematics, economics and the other social and behavioral
sciences.

Game theory is a type of decision theory in which one’s choice of action is determined
after taking into account all possible alternatives available to an opponent playing the same
game, rather than just by the possibilities of several outcome results. Game theory does not
insist on how a game should be played but tells the procedure and principles by which
action should be selected. Thus it is a decision theory useful in competitive situations.

Game is defined as an activity between two or more persons according to a set of rules at
the end of which each person receives some benefit or suffers loss. The set of rules defines
the game. Going through the set of rules once by the participants defines a play.

2.2 Properties of a Game

1. There are finite numbers of competitors called ‘players’

2. Each player has a finite number of possible courses of action called ‘strategies’

3. All the strategies and their effects are known to the players but player does not
know which strategy is to be chosen.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

4. A game is played when each player chooses one of his strategies. The strategies are
assumed to be made simultaneously with an outcome such that no player knows his
opponents strategy until he decides his own strategy.

5. The game is a combination of the strategies and in certain units which determines
the gain or loss.

6. The figures shown as the outcomes of strategies in a matrix form are called ‘pay-off
matrix’.

7. The player playing the game always tries to choose the best course of action which
results in optimal pay off called ‘optimal strategy’.

8. The expected pay off when all the players of the game follow their optimal
strategies is known as ‘value of the game’. The main objective of a problem of a
game is to find the value of the game.

9. The game is said to be ‘fair’ game if the value of the game is zero otherwise it s
known as ‘unfair’.

2.3 Characteristics of Game Theory

1. Competitive game
A competitive situation is called a competitive game if it has the following four properties
1. There are finite number of competitors such that n ≥ 2. In case n = 2, it is called a
two-person game and in case n > 2, it is referred as n-person game.

2. Each player has a list of finite number of possible activities.

3. A play is said to occur when each player chooses one of his activities. The choices
are assumed to be made simultaneously i.e. no player knows the choice of the other
until he has decided on his own.

4. Every combination of activities determines an outcome which results in a gain of

payments to each player, provided each player is playing uncompromisingly to get
as much as possible. Negative gain implies the loss of same amount.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

2. Strategy
The strategy of a player is the predetermined rule by which player decides his course of
action from his own list during the game. The two types of strategy are
1. Pure strategy

2. Mixed strategy

Pure Strategy
If a player knows exactly what the other player is going to do, a deterministic
situation is obtained and objective function is to maximize the gain. Therefore, the
pure strategy is a decision rule always to select a particular course of action.

Mixed Strategy
If a player is guessing as to which activity is to be selected by the other on any
particular occasion, a probabilistic situation is obtained and objective function is to
maximize the expected gain. Thus the mixed strategy is a selection among pure
strategies with fixed probabilities.
3. Number of persons
A game is called ‘n’ person game if the number of persons playing is ‘n’. The person
means an individual or a group aiming at a particular objective.

Two-person, zero-sum game

A game with only two players (player A and player B) is called a ‘two-person,
zero-sum game’, if the losses of one player are equivalent to the gains of the other
so that the sum of their net gains is zero.
Two-person, zero-sum games are also called rectangular games as these are usually
represented by a payoff matrix in a rectangular form.

4. Number of activities
The activities may be finite or infinite.

5. Payoff
The quantitative measure of satisfaction a person gets at the end of each play is called a
payoff

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

6. Payoff matrix
Suppose the player A has ‘m’ activities and the player B has ‘n’ activities. Then a payoff
matrix can be formed by adopting the following rules
 Row designations for each matrix are the activities available to player A

 Column designations for each matrix are the activities available to player B

 Cell entry Vij is the payment to player A in A’s payoff matrix when A chooses the
activity i and B chooses the activity j.

 With a zero-sum, two-person game, the cell entry in the player B’s payoff matrix
will be negative of the corresponding cell entry Vij in the player A’s payoff matrix
so that sum of payoff matrices for player A and player B is ultimately zero.

7. Value of the game

Value of the game is the maximum guaranteed game to player A (maximizing player) if
both the players uses their best strategies. It is generally denoted by ‘V’ and it is unique.

2.4 Classification of Games

Generally games are classified into
 Pure strategy games

 Mixed strategy games

The method for solving these two types varies. By solving a game, we need to find best
strategies for both the players and also to find the value of the game.

Pure strategy games can be solved by saddle point method.

The different methods for solving a mixed strategy game are

 Analytical method

 Graphical method

 Dominance rule

 Simplex method

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

2.5 Solving Two-Person and Zero-Sum Game

Two-person zero-sum games may be deterministic or probabilistic. The deterministic

games will have saddle points and pure strategies exist in such games. In contrast, the
probabilistic games will have no saddle points and mixed strategies are taken with the help
of probabilities.

Definition of saddle point

A saddle point of a matrix is the position of such an element in the payoff matrix, which is
minimum in its row and the maximum in its column.

Procedure to find the saddle point

 Select the minimum element of each row of the payoff matrix and mark them with
circles.

 Select the maximum element of each column of the payoff matrix and mark them
with squares.

 If their appears an element in the payoff matrix with a circle and a square together
then that position is called saddle point and the element is the value of the game.

Solution of games with saddle point

To obtain a solution of a game with a saddle point, it is feasible to find out
 Best strategy for player A

 Best strategy for player B

 The value of the game

The best strategies for player A and B will be those which correspond to the row and
column respectively through the saddle point.

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

Examples
Solve th
he payoff matrix
m
1.
Player B
B1 B2 B3
Player A A1 2 4 5
A2 10 7 9
A3 4 5 6

n
Solution

Strategyy of player A – A2
Strategyy of player B – B2
Value oof the game = 7

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

2.
Player B
I I
II III IV V
I -2 0 0 5 3
Player A II 3 2 1 2 2
III -4 -
-3 0 -2 6
IV 5 3 -4 2 -6

Solution
n

Strategyy of player A – II
Strategyy of player B - III
Value oof the game = 1

3..
B1 B2 B3 B4
A1 1 7 3 4
A2 5 6 4 5
A3 7 2 0 3
Solution
n

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

Strategyy of player A – A2
Strategyy of player B – B3
Value oof the game = 4

4.
B Strategyy
B’s
B1 B2 B3 B4 B5
A1 8 10 -3 -8 -12
A’s A2 3 6 0 6 12
Strategyy A3 7 5 -2 -8 17
A4 -11 12 -100 10 20
A5 -7 0 0 6 2

Solution
n

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

Strategyy of player A – A2
Strategyy of player B – B3
Value oof the game = 0
5.

Solution
n

Value oof the game = 4

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Exerciise
1. Explain
E thee concept off game theorry.

2. What
W is a reectangular game?
g

3. What
W is a saaddle point??

4. Define
D puree and mixedd strategy inn a game.

5. What
W are th
he characterristics of gam
me theory?

6. Explain
E twoo-person zerro-sum gam
me giving suuitable exam
mples.

7. Explain
E thee following terms
t

a. Com
mpetitive Gaame

b. Straategy

c. Valuue of the gaame

d. Pay-off-matrix

e. Optimal strateggy

8. Explain
E Maaximin and M
Minimax ussed in gamee theory

9. For
F the gam
me with payoff matrix

Deteermine the best

b strategiies for player A and B and also thee value of thhe game.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 3
3.1 Games with Mixed Strategies
3.1.1 Analytical Method
3.1.2 Graphical Method
3.1.3 Simplex Method

3.1 Games with Mixed Strategies

In certain cases, no pure strategy solutions exist for the game. In other words, saddle point
does not exist. In all such game, both players may adopt an optimal blend of the strategies
called Mixed Strategy to find a saddle point. The optimal mix for each player may be
determined by assigning each strategy a probability of it being chosen. Thus these mixed
strategies are probabilistic combinations of available better strategies and these games
hence called Probabilistic games.

The probabilistic mixed strategy games without saddle points are commonly solved by any
of the following methods

Sl.
Method Applicable to
No.
1 Analytical Method 2x2 games
2 Graphical Method 2x2, mx2 and 2xn games
3 Simplex Method 2x2, mx2, 2xn and mxn games

Reduction by Dominance
1. Check whether there is any row in the (remaining) matrix that is dominated by another
row (this means that it is ≤ some other row). If there is one, delete it.
2. Check whether there is any column in the (remaining) matrix that is dominated by
another column (this means that it is ≥ some other column). If there is one, delete it.
3. Repeat steps 1 and 2 in any order until there are no dominated rows or columns

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Quick
k Examplee
In the payoff matrix

row 4 ddominates bo
oth rows 2 and
a 3, so wee eliminate both of these rows at once.
o

Turningg to the co
olumns, we see that column
c 2 ddominates column
c 3, so
s we elim
minate
column 3.

Lookingg again at th
he rows, wee find that none
n of the rows
r is dom a of the others,
minated by any
and thatt the same is true for thhe columns. Thus the game cannott be reducedd any furtheer.
This proocess mightt go on unti
til you are leeft with a (11x1) matrixx. If this is the
t case, then
you aree lucky indeeed, and aree left with a very simplle game.

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

H.W: reeduce the fo

ollowing paayoff matrix
x by dominaance rule.

3.1.1 A
Analyticall Method

A 2 x 2 payoff mattrix where thhere is no saaddle point can be solv

ved by analyytical methood.
Given thhe matrix

Value oof the game is

With the coordinates

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Alternaative proced
dure to solvve the strattegy

 F
Find the diifference of two num
mbers in collumn 1 andd enter thee resultant under
u
c
column 2. Neglect
N the negative siggn if it occuurs.

 F
Find the diifference of two num
mbers in collumn 2 andd enter thee resultant under
u
c
column 1. Neglect
N the negative siggn if it occuurs.

 R
Repeat the same procedure for thee two rows.

1. Solvee

n
Solution
It is a 2 x 2 matrix and no sadddle point exxists. We cann solve by analytical
a m
method

V = 17 / 5
SA = (x1, x2) = (1/55, 4 /5)
SB = (y1, y2) = (3/5, 2 /5)

2. Solvve the given

n matrix

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Solution
n

V=-1/4
SA = (x1, x2) = (1/44, 3 /4)
SB = (y1, y2) = (1/4
4, 3 /4)

3.1.2 G
Graphicall method

The graaphical methhod is used to solve thee games whoose payoff matrix
m has
・ 2 row
ws and n co
olumns (2 x n)
・ n row
ws and 2 co
olumns (n x 2)

Algorithm for solvving 2 x n matrix

m gam
mes
・ Draw
w two verticcal axes 1 unnit apart. Thhe two liness are x1 = 0,
0 x1 = 1
・ Takee the pointss of the firsst row in the payoff matrix
m on thee vertical linne x1=1 annd the
points oof the second row in thee payoff maatrix on the vertical linee x1=0.
・ The point a1j on
o axis x1 = 1 is then joined
j to thhe point a2j on the axis x1=0 to ggive a
straight line. Draw
w ‘n’ straighht lines for j=1,
j 2… n and determ
mine the highhest point of
o the
lower ennvelope obttained. Thiss will be thee Maximin point.
p
min point deetermines thhe required 2 x 2
・ The two or morre lines passsing throughh the Maxim
payoff m
matrix. Thiss in turn givves the optim
mum solutioon by makinng use of annalytical meethod.

Example 1
Solve byy graphical method

Solutionn

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

V = 66//13
SA = (44/13, 9 /13)
SB = (00, 10/13, 3 /13)

Example 2
Solve byy graphical method

Solutionn

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

V = 8/7
SA = (33/7, 4 /7)
SB = (22/7, 0, 5 /7)

Algorithm for solvving n x 2 matrix

m gam
mes
・ Draw
w two verticcal axes 1 unnit apart. Thhe two liness are x1 =0,, x1=1
・ Takee the points of the first column in the
t payoff m
matrix on th
he vertical liine x1=1 annd the
points oof the second column inn the payofff matrix on the vertical line x1=0.
・ The point aj1 on
o axis x1=
=1 is then jo
oined to thee point aj2 on the axiss x1=0 to give
g a
straight line. Draw
w ‘n’ straighht lines for j=1, 2… n and determ
mine the low
west point of
o the
upper ennvelope obttained. Thiss will be thee minimax point.
p
max point deetermines thhe required
・ The two or morre lines passsing throughh the minim d2x
2 payofff matrix. This
T in turnn gives thee optimum solution byy making use
u of analyytical
method.
Example 1
Solve byy graphical method

Solutionn

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫ﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫اﻟﻬﻧدﺳﺔ‬

V = 3/9 = 1/3
SA = (00, 5 /9, 4/9, 0)
0
SB = (3/9, 6 /9)

Example 2
Solve byy graphical method

Solutionn

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

V = 73//17
SA = (00, 16/17, 1/1
17, 0, 0)
SB = (55/17, 12 /17))

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 4
4.1 Introduction to Linear Programming
4.2 General Form of LPP
4.3 Assumptions in LPP
4.4 Applications of Linear Programming
4.5 Advantages of Linear Programming Techniques
4.6 Limitations of Linear Programming
4.7 Formulation of LP Problems

4.1 Introduction to Linear Programming

A linear form is meant a mathematical expression of the type a1x1 + a2x2 + …. + anxn,
where a1, a2, …, an are constants and x1, x2 … xn are variables. The term Programming
refers to the process of determining a particular program or plan of action. So Linear
Programming (LP) is one of the most important optimization (maximization /
minimization) techniques developed in the field of Operations Research (OR).

The methods applied for solving a linear programming problem are basically simple
problems; a solution can be obtained by a set of simultaneous equations. However a unique
solution for a set of simultaneous equations in n-variables (x1, x2 … xn), at least one of
them is non-zero, can be obtained if there are exactly n relations. When the number of
relations is greater than or less than n, a unique solution does not exist but a number of trial
solutions can be found.

In various practical situations, the problems are seen in which the number of relations is
not equal to the number of the number of variables and many of the relations are in the
form of inequalities (≤ or ≥) to maximize or minimize a linear function of the variables
subject to such conditions. Such problems are known as Linear Programming Problem
(LPP).

Definition – The general LPP calls for optimizing (maximizing / minimizing) a linear
function of variables called the ‘Objective function’ subject to a set of linear equations
and / or inequalities called the ‘Constraints’ or ‘Restrictions’.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

4.2 General form of LPP

We formulate a mathematical model for general problem of allocating resources to
activities. In particular, this model is to select the values for x1, x2 … xn so as to maximize
or minimize
Z = c1x1 + c2x2 +………….+cnxn
subject to restrictions
a11x1 + a12x2 + …..........+a1nxn (≤ or ≥) b1
a21x1 + a22x2 + ………..+a2nxn (≤ or ≥) b2
.
.
.
am1x1 + am2x2 + ……….+amnxn (≤ or ≥) bm
and
x1 ≥ 0, x2 ≥ 0,…, xn ≥ 0

Where
Z = value of overall measure of performance
xj = level of activity (for j = 1, 2, ..., n)
cj = increase in Z that would result from each unit increase in level of activity j
bi = amount of resource i that is available for allocation to activities (for i = 1,2, …, m)
aij = amount of resource i consumed by each unit of activity j
Resource usage per unit of activity
Resource Amount of resource
Activity
available
1 2 …………………….. n
1 a11 a12 …………………….a1n b1
2 a21 a22 …………………….a2n b2
. . .
. . .
. . .
m am1 am2 …………………….amn bm
Contribution to Z
per unit of c1 c2 ………………………..cn
activity
Data needed for LP model

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

 The level of activities x1, x2………xn are called decision variables.

 The values of the cj, bi, aij (for i=1, 2 … m and j=1, 2 … n) are the input constants
for the model. They are called as parameters of the model.
 The function being maximized or minimized Z = c1x1 + c2x2 +…. +cnxn is called
objective function.
 The restrictions are normally called as constraints. The constraint ai1x1 + ai2x2 …
ainxn are sometimes called as functional constraint (L.H.S (left hand side)
constraint). xj ≥ 0 restrictions are called non-negativity constraint.

4.3 Assumptions in LPP

1. Proportionality

The contribution of each variable in the objective function or its usage of the resources is
directly proportional to the value of the variable i.e. if resource availability increases by
some percentage, then the output shall also increase by same percentage.

2. Additivity

Sum of the resources used by different activities must be equal to the total quantity of
resources used by each activity for all resources individually or collectively.

3. Divisibility

The variables are not restricted to integer values

4. Deterministic

Coefficients in the objective function and constraints are completely known and do not
change during the period under study in all the problems considered.

5. Finiteness

Variables and constraints are finite in number.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

6. Optimality

In LPP, we determine the decision variables so as to optimize the objective function of the
LPP.

7. The problem involves only one objective, profit maximization or cost

minimization.

4.4 Applications of Linear Programming

1. Personnel Assignment Problem
2. Transportation Problem
3. Efficiency on Operation of system of Dams
4. Optimum Estimation of Executive Compensation
5. Agriculture Applications
6. Military Applications
7. Production Management
8. Marketing Management
9. Manpower Management
10. Physical distribution

4.5 Advantages of Linear Programming Techniques

1. It helps us in making the optimum utilization of productive resources.

2. The quality of decisions may also be improved by linear programming techniques.

3. Provides practically solutions.

4. In production processes, high lighting of bottlenecks is the most significant

advantage of this technique.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

4.6 Limitations of Linear Programming

Some limitations are associated with linear programming techniques
1. In some problems, objective functions and constraints are not linear. Generally, in
real life situations concerning business and industrial problems constraints are not
linearly treated to variables.

2. There is no guarantee of getting integer valued solutions. For example, in finding

out how many men and machines would be required to perform a particular job,
rounding off the solution to the nearest integer will not give an optimal solution.
Integer programming deals with such problems.

3. Linear programming model does not take into consideration the effect of time and
uncertainty. Thus the model should be defined in such a way that any change due to
internal as well as external factors can be incorporated.

4. Sometimes large scale problems cannot be solved with linear programming

techniques even when the computer facility is available. Such difficulty may be
removed by decomposing the main problem into several small problems and then
solving them separately.

5. Parameters appearing in the model are assumed to be constant. But, in real life
situations they are neither constant nor deterministic.

6. Linear programming deals with only single objective, whereas in real life situation
problems come across with multi objectives. Goal programming and multi-
objective programming deals with such problems.

4.7 Formulation of LP Problems

Example 1
A firm manufactures two types of products A and B and sells them at a profit of ID 2 on
type A and ID 3 on type B. Each product is processed on two machines G and H. Type A
requires 1 minute of processing time on G and 2 minutes on H; type B requires 1 minute on
G and 1 minute on H. The machine G is available for not more than 6 hours 40 minutes
while machine H is available for 10 hours during any working day. Formulate the problem
as a linear programming problem.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Solution
Let
x1 be the number of products of type A
x2 be the number of products of type B

After understanding the problem, the given information can be systematically arranged in
the form of the following table.

Type of products (minutes)

Available
Machine Type A (x1 units) Type B (x2 units)
time (mins)
G 1 1 400
H 2 1 600
Profit per unit ID 2 ID 3

Since the profit on type A is ID 2 per product, 2 x1 will be the profit on selling x1 units of
type A. similarly, 3x2 will be the profit on selling x2 units of type B. Therefore, total profit
on selling x1 units of A and x2 units of type B is given by
Maximize Z = 2 x1+3 x2 (objective function)

Since machine G takes 1 minute time on type A and 1 minute time on type B, the total
number of minutes required on machine G is given by x1+ x2.

Similarly, the total number of minutes required on machine H is given by 2x1 + x2.

But, machine G is not available for more than 6 hours 40 minutes (400 minutes).
Therefore,
x1+ x2 ≤ 400 (first constraint)

Also, the machine H is available for 10 hours (600 minutes) only, therefore,
2 x1 + x2 ≤ 600 (second constraint)

Since it is not possible to produce negative quantities

x1 ≥ 0 and x2 ≥ 0 (non-negative restrictions)

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Hence
Maximize Z = 2 x1 + 3 x2
Subject to restrictions
x1 + x2 ≤ 400
2x1 + x2 ≤ 600
and non-negativity constraints
x1 ≥ 0 , x2 ≥ 0

Example 2
A firm manufactures 3 products A, B and C. The profits are ID 3, ID 2 and ID 4
respectively. The firm has 2 machines and below is given the required processing time in
minutes for each machine on each product.

Products
Machine A B C
X 4 3 5
Y 2 2 4
Machine X and Y have 2000 and 2500 machine minutes. The firm must manufacture 100
A’s, 200 B’s and 50 C’s type, but not more than 150 A’s.

Solution
Let
x1 be the number of units of product A
x2 be the number of units of product B
x3 be the number of units of product C

Products
Machine A B C Availability
X 4 3 5 2000
Y 2 2 4 2500
Profit 3 2 4

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Max Z = 3x1 + 2x2 + 4x3

Subject to
4x1 + 3x2 + 5x3 ≤ 2000
2x1 + 2x2 + 4x3 ≤ 2500
100 ≤ x1 ≤ 150
x2 ≥ 200
x3 ≥ 50

Example 3
ABC Company produces both interior and exterior paints from 2 raw materials M1 and
M2. The following table produces basic data of problem.

Exterior paint Interior paint Availability

M1 6 4 24
M2 1 2 6
Profit per ton 5 4

A market survey indicates that daily demand for interior paint cannot exceed that for
exterior paint by more than 1 ton. Also maximum daily demand for interior paint is 2 tons.
Formulate LPP to determine the best product mix of interior and exterior paints that
maximizes the daily total profit.
Solution
Let x1 be the number of units of exterior paint
x2 be the number of units of interior paint

Maximize Z = 5x1 + 4x2

Subject to
6x1 + 4x2 ≤ 24
x1 + 2x2 ≤ 6
x2 – x1≤ 1
x2≤ 2
x1≥0, x2 ≥0
b) The maximum daily demand for exterior paint is at most 2.5 tons
x1≤ 2.5

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

c) Daily demand for interior paint is at least 2 tons

x2 ≥ 2
d) Daily demand for interior paint is exactly 1 ton higher than that for exterior paint.
x2 > x1 + 1

Example 4
A company produces 2 types of hats. Each hat of the I type requires twice as much as
labour time as the II type. The company can produce a total of 500 hats a day. The market
limits daily sales of I and II types to 150 and 250 hats. Assuming that the profit per hat are
ID 8 for type A and ID 5 for type B. Formulate a LPP models in order to determine the
number of hats to be produced of each type so as to maximize the profit.
Solution
Let x1 be the number of hats produced by type A
Let x2 be the number of hats produced by type B

Maximize Z = 8x1 + 5x2

Subject to
2x1 + x2 ≤ 500 (labour time)
x1 ≤ 150
x2 ≤ 250
x1≥0, x2 ≥0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Exercise
1. Define the terms used in LPP.

2. Mention the advantages of LPP.

3. What are the assumptions and limitations of LPP?

4. A company produces two products A and B which possess raw materials 400
kilograms and 450 labour hours. It is known that 1 unit of product A requires 5
kilograms of raw materials and 10 man hours and yields a profit of ID 45. Product
B requires 20 kilograms of raw materials, 15 man hours and yields a profit of ID
80. Formulate the LPP.
5. ABC Company produces both interior and exterior paints from 2 raw materials M1
and M2. The following table produces basic data of problem.

Exterior paint Interior paint Availability

M1 6 4 24
M2 1 2 6
Profit per ton 5 4
A market survey indicates that daily demand for interior paint cannot exceed that
for exterior paint by more than 1 ton. Also maximum daily demand for interior
paint is 2 tons. Formulate LPP to determine the best product mix of interior and
exterior paints that maximizes the daily total profit.

6. A company has 3 operational departments weaving, processing and packing with

the capacity to produce 3 different types of clothes that are suiting, shirting and
woolen yielding with the profit of ID 2, ID 4 and ID 3 per meters respectively. 1m
suiting requires 3mins in weaving 2 mins in processing and 1 min in packing.
Similarly 1m of shirting requires 4 mins in weaving 1 min in processing and 3 mins
in packing while 1m of woolen requires 3 mins in each department. In a week total
run time of each department is 60, 40 and 80 hours for weaving, processing and
packing department respectively. Formulate a LPP to find the product to maximize
the profit.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 5 Solution of LPP using Graphical method

5.1 Graphical solution Procedure
5.2 Definitions
5.3 Example Problems

5.1 Graphical Solution Procedure

The graphical solution procedure

1. Consider each inequality constraint as equation.

2. Plot each equation on the graph as each one will geometrically represent a straight
line.
3. Shade the feasible region. Every point on the line will satisfy the equation of the
line. If the inequality constraint corresponding to that line is ‘≤’ then the region
below the line lying in the first quadrant is shaded. Similarly for ‘≥’ the region
above the line is shaded. The points lying in the common region will satisfy the
constraints. This common region is called feasible region.
4. Choose the convenient value of Z and plot the objective function line.
5. Pull the objective function line until the extreme points of feasible region.
a. In the maximization case this line will stop far from the origin and passing
through at least one corner of the feasible region.
b. In the minimization case, this line will stop near to the origin and passing
through at least one corner of the feasible region.
6. Read the co-ordinates of the extreme points selected in step 5 and find the
maximum or minimum value of Z.

5.2 Definitions
1. Solution – Any specification of the values for decision variable among (x1, x2… xn)
is called a solution.
2. Feasible solution is a solution for which all constraints are satisfied.
3. Infeasible solution is a solution for which atleast one constraint is not satisfied.
4. Feasible region is a collection of all feasible solutions of an inequality.

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5. Optimal solution is a feasible solution that has the most favorable value of the
objective function.
6. Most favorable value is the largest value if the objective function is to be
maximized, whereas it is the smallest value if the objective function is to be
minimized.
7. Multiple optimal solutions – More than one solution with the same optimal value
of the objective function.
8. Unbounded solution – If the value of the objective function can be increased or
decreased indefinitely such solutions are called unbounded solution.
9. Corner point feasible solution is a solution that lies at the corner of the feasible
region.

5.3 Example problems

Example 1
Solve 3x + 5y < 15 graphically

Solution
Write the given constraint in the form of equation i.e. 3x + 5y = 15
Put x=0 then the value y=3
Put y=0 then the value x=5
Therefore the coordinates are (0, 3) and (5, 0). Thus these points are joined to form a
straight line as shown in the graph.

Put x=0, y=0 in the given constraint then

0<15, the condition is true. (0, 0) is solution nearer to origin. So shade the region below the
line, which is the feasible region.

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Example 2
Solve 3xx + 5y >15

Solution
n
Write thhe given con
nstraint in thhe form of equation
e i.ee. 3x + 5y = 15
Put x=00, then y=3
Put y=00, then x=5
So the ccoordinates are (0, 3) annd (5, 0)
Put x =00, y =0 in thhe given connstraint, thee condition turns
t out to be false i.ee. 0 > 15 is false.
f
So the rregion does not containn (0, 0) as solution.
s Thhe feasible region
r lies on
o the outer part
of the liine as shown
n in the graaph.

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Example 3
Max Z = 80x1 + 55
5x2
Subject to
4 1+ 2x2 ≤ 40
4x 4
2 1 + 4x2 ≤ 32
2x
x1 ≥ 0 , x 2 ≥ 0

Solution
n
The firsst constraintt 4x1+ 2 x2 ≤ 40, writtenn in a form of equationn
4x1+ 2 x2 = 40
Put x1 =0,
= then x2 = 20
Put x2 =0,
= then x1 = 10
The cooordinates aree (0, 20) and (10, 0)

The seccond constraaint 2x1 + 4xx2 ≤ 32, wriitten in a forrm of equattion

2x1 + 4xx2 =32
Put x1 =0,
= then x2 = 8
Put x2 =0,
= then x1 = 16
The cooordinates aree (0, 8) and (16, 0)

The graaphical repreesentation is

The corrner points of feasiblee region aree A, B andd C. So the coordinatees for the corner
c
points aare

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

A (0, 8)
B (8, 4) (Solve the two equations 4x1+ 2 x2 = 40 and 2x1 + 4x2 =32 to get the coordinates)
C (10, 0)

We know that Max Z = 80x1 + 55x2

At A (0, 8)
Z = 80(0) + 55(8) = 440

At B (8, 4)
Z = 80(8) + 55(4) = 860

At C (10, 0)
Z = 80(10) + 55(0) = 800

The maximum value is obtained at the point B. Therefore Max Z = 860 and x1 = 8, x2 = 4

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Exercise
1. Using graphical method,
Minimize Z = 10x1 + 4x2
Subject to
3x1 + 2x2 ≥ 60
7x1 + 2x2 ≥ 84
3x1 +6x2 ≥ 72
x1 ≥ 0 , x2 ≥ 0

2. Solve by using graphical method

Max Z = 4x1 + 3x2
Subject to
4x1+ 3x2 ≤ 24
x1 ≤ 4.5
x2 ≤ 6
x1 ≥ 0 , x2 ≥ 0

3. Solve graphically
Max Z = 3x1 + 2x2
Subject to
x1+ x2 ≤ 1
x1+ x2 ≥ 3
x1 ≥ 0 , x2 ≥ 0

4. Solve by graphical method

Max Z = 3x1 + 5x2
Subject to
2x1+ x2 ≥ 7
x1+ x2 ≥ 6
x1+ 3x2 ≥ 9
x1 ≥ 0 , x2 ≥ 0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Unit 6 Solution of LPP using Simplex Method

6.1 Introduction

6.2 Steps to convert GLPP to SLPP

6.3 Some Basic Definitions

6.4 Introduction to Simplex Method

6.5 Computational procedure of Simplex Method

6.6 Worked Examples

6.1 Introduction

General Linear Programming Problem (GLPP)

Maximize / Minimize Z = c1x1 + c2x2 + c3x3 +……………..+ cnxn

Subject to constraints
a11x1 + a12x2 + …..........+a1nxn (≤ or ≥) b1
a21x1 + a22x2 + ………..+a2nxn (≤ or ≥) b2
.
.
.
am1x1 + am2x2 + ……….+amnxn (≤ or ≥) bm
and
x1 ≥ 0, x2 ≥ 0,…, xn ≥ 0

Where constraints may be in the form of any inequality (≤ or ≥) or even in the form of an
equation (=) and finally satisfy the non-negativity restrictions.

6.2 Steps to convert GLPP to SLPP (Standard LPP)

Step 1 – Write the objective function in the maximization form. If the given objective
function is of minimization form then multiply throughout by -1 and write:
Max z‫ = ׳‬Min (-z)

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Step 2 – Convert all inequalities as equations.

o If an equality of ‘≤’ appears then by adding a variable called Slack
variable. We can convert it to an equation. For example x1 +2x2 ≤ 12, we
can write as
x1 +2x2 + s1 = 12.
o If the constraint is of ‘≥’ type, we subtract a variable called Surplus
variable and convert it to an equation. For example
2x1 +x2 ≥ 15
2x1 +x2 – s2 = 15

Step 3 – The right side element of each constraint should be made non-negative
2x1 +x2 – s2 = -15
-2x1 - x2 + s2 = 15 (That is multiplying throughout by -1)
Step 4 – All variables must have non-negative values.
For example: x1 +x2 ≤ 3
x1 > 0, x2 is unrestricted in sign
Then x2 is written as x2 = x2‫ – ׳‬x2‫ ׳׳‬where x2‫׳‬, x2‫ ≥ ׳׳‬0
Therefore the inequality takes the form of equation as x1 + (x2‫ – ׳‬x2‫ )׳׳‬+ s1 = 3

Using the above steps, we can write the GLPP in the form of SLPP.

Write the Standard LPP (SLPP) of the following

Example 1
Maximize Z = 3x1 + x2
Subject to
2 x1 + x2 ≤ 2
3 x1 + 4 x2 ≥ 12
and x1 ≥ 0, x2 ≥ 0

SLPP
Maximize Z = 3x1 + x2
Subject to
2 x1 + x2 + s1 = 2

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

3 x1 + 4 x2 – s2 = 12
x1 ≥ 0, x2 ≥ 0, s1 ≥ 0, s2 ≥ 0

Example 2
Minimize Z = 4x1 + 2 x2
Subject to
3x1 + x2 ≥ 2
x1 + x2 ≥ 21
x1 + 2x2 ≥ 30
and x1 ≥ 0, x2 ≥ 0

SLPP
Maximize Z‫ – = ׳‬4x1 – 2 x2
Subject to
3x1 + x2 – s1 = 2
x1 + x2 – s2 = 21
x1 + 2x2 – s3 = 30
x1 ≥ 0, x2 ≥ 0, s1 ≥ 0, s2 ≥ 0, s3 ≥ 0

Example 3
Minimize Z = x1 + 2 x2 + 3x3
Subject to
2x1 + 3x2 + 3x3 ≥ – 4
3x1 + 5x2 + 2x3 ≤ 7
and x1 ≥ 0, x2 ≥ 0, x3 is unrestricted in sign

SLPP
Maximize Z‫ – = ׳‬x1 – 2 x2 – 3(x3‫ – ׳‬x3‫)׳׳‬
Subject to
–2x1 – 3x2 – 3(x3‫ – ׳‬x3‫ )׳׳‬+ s1= 4
3x1 + 5x2 + 2(x3‫ – ׳‬x3‫ )׳׳‬+ s2 = 7
x1 ≥ 0, x2 ≥ 0, x3‫ ≥ ׳‬0, x3‫ ≥ ׳׳‬0, s1 ≥ 0, s2 ≥ 0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

6.3 Some Basic Definitions

Solution of LPP
Any set of variable (x1, x2… xn) which satisfies the given constraint is called solution of
LPP.

Basic solution
It is a solution obtained by setting any ‘n’ variable equal to zero and solving remaining ‘m’
variables. Such ‘m’ variables are called Basic variables and ‘n’ variables are called Non-
basic variables.

Basic feasible solution

A basic solution that is feasible (all basic variables are non negative) is called basic
feasible solution. There are two types of basic feasible solution.
1. Degenerate basic feasible solution
If any of the basic variable of a basic feasible solution is zero than it is said to be
degenerate basic feasible solution.
2. Non-degenerate basic feasible solution
It is a basic feasible solution which has exactly ‘m’ positive xi, where i=1, 2, … m. In other
words all ‘m’ basic variables are positive and remaining ‘n’ variables are zero.

Optimum basic feasible solution

A basic feasible solution is said to be optimum if it optimizes (max / min) the objective
function.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

6.4 Introduction to Simplex Method

It was developed by G. Danztig in 1947. The simplex method provides an algorithm (a rule
of procedure usually involving repetitive application of a prescribed operation) which is
based on the fundamental theorem of linear programming.

The Simplex algorithm is an iterative procedure for solving LP problems in a finite number
of steps. It consists of
 Having a trial basic feasible solution to constraint-equations

 Testing whether it is an optimal solution

 Improving the first trial solution by a set of rules and repeating the process till an
optimal solution is obtained

Advantages
 Simple to solve the problems

 The solution of LPP of more than two variables can be obtained.

6.5 Computational Procedure of Simplex Method

Consider an example
Maximize Z = 3x1 + 2x2
Subject to
x1 + x2 ≤ 4
x1 – x2 ≤ 2
and x1 ≥ 0, x2 ≥ 0

Solution

Step 1 – Write the given GLPP in the form of SLPP

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Maximiize Z = 3x1 + 2x2 + 0s1 + 0s2

Subject to
x1 + x2+ s1= 4
x1 – x2 + s2= 2
x1 ≥ 0, x2 ≥ 0, s1 ≥ 0, s2 ≥ 0

Step 2 – Present thhe constraintts in the maatrix form

x1 + x2+ s1= 4
x1 – x2 + s2= 2

Step 3 – Construct the startingg simplex taable using thhe notationss

Cj → 3 2 0 0
Basic CB XB X1 X2 S1       S2  Min raatio
Variablles XB /X
Xk
s1 0 4 1 1 1 0

s2 0 2 1 -1 0 1
Z= CB XB Δj

Step 4 – Calculatioon of Z andd Δj and tesst the basic feasible solution for optimality
o b the
by
rules givven.
Z= CB XB
= 0 *44 + 0 * 2 = 0

Δj = Zj – Cj
= CB Xj – Cj
Δ1 = CB X1 – Cj = 0 * 1 + 0 * 1 – 3 = -3
Δ2 = CB X2 – Cj = 0 * 1 + 0 * -1
- – 2 = -2

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Δ3 = CB X3 – Cj = 0 * 1 + 0 * 0 – 0 = 0
Δ4 = CB X4 – Cj = 0 * 0 + 0 * 1 – 0 = 0
Procedure to test the basic feasible solution for optimality by the rules given

Rule 1 – If all Δj ≥ 0, the solution under the test will be optimal. Alternate optimal
solution will exist if any non-basic Δj is also zero.

Rule 2 – If atleast one Δj is negative, the solution is not optimal and then proceeds to
improve the solution in the next step.

Rule 3 – If corresponding to any negative Δj, all elements of the column Xj are negative or
zero, then the solution under test will be unbounded.

In this problem it is observed that Δ1 and Δ2 are negative. Hence proceed to improve this
solution

Step 5 – To improve the basic feasible solution, the vector entering the basis matrix and
the vector to be removed from the basis matrix are determined.

 Incoming vector

The incoming vector Xk is always selected corresponding to the most negative value of Δj.
It is indicated by (↑).

 Outgoing vector

The outgoing vector is selected corresponding to the least positive value of minimum ratio.
It is indicated by (→).

Step 6 – Mark the key element or pivot element by ‘1’‘.The element at the intersection of
outgoing vector and incoming vector is the pivot element.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Cj → 3 2 0 0
Basic CB XB X1 X2 S1       S2 Min ratio
Variables (Xk)  XB /Xk
s1 0 4 1 1 1 0 4/1=4

s2 0 2 1 -1 0 1 2 / 1 = 2 → outgoing

↑incoming
Z= CB XB = 0 Δ1= -3 Δ2= -2 Δ3=0 Δ4=0

 If the number in the marked position is other than unity, divide all the elements of
that row by the key element.

 Then subtract appropriate multiples of this new row from the remaining rows, so as
to obtain zeroes in the remaining position of the column Xk.

Basic CB XB X1 X2 S1       S2 Min ratio

Variables                     (Xk)  XB /Xk
(R1=R1 – R2) 2 / 2 = 1 → outgoing
s1 0 2 0 2 1 -1

2 / -1 = -2 (neglect in
x1 3 2 1 -1 0 1 case of negative)
↑incoming
Z=0*2+3*2= 6 Δ1=0 Δ2= -5 Δ3=0
Δ4=3

Step 7 – Now repeat step 4 through step 6 until an optimal solution is obtained.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Basic CB XB X1 X2 S1           S2 Min ratio

Variables   XB /Xk
(R1=R1 / 2)

x2 2 1 0 1 1/2 -1/2
(R2=R2 + R1)
1 0 1/2 1/2
x1 3 3
Z = 11 Δ1=0 Δ2=0 Δ3=5/2 Δ4=1/2

Since all Δj ≥ 0, optimal basic feasible solution is obtained

Therefore the solution is Max Z = 11, x1 = 3 and x2 = 1

6.6 Worked Examples

Solve by simplex method

Example 1
Maximize Z = 80x1 + 55x2
Subject to
4x1 + 2x2 ≤ 40
2x1 + 4x2 ≤ 32
and x1 ≥ 0, x2 ≥ 0

Solution
SLPP
Maximize Z = 80x1 + 55x2 + 0s1 + 0s2
Subject to
4x1 + 2x2+ s1= 40
2x1 + 4x2 + s2= 32
x1 ≥ 0, x2 ≥ 0, s1 ≥ 0, s2 ≥ 0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Cj → 80 55 0 0
Basic CB XB X1 X2 S1       S2 Min ratio
Variables   XB /Xk
s1 0 40 4 2 1 0 40 / 4 = 10→
outgoing
s2 0 32 2 4 0 1
32 / 2 = 16

↑incoming
Z= CB XB = 0 Δ1= -80 Δ2= -55 Δ3=0
Δ4=0
(R1=R1 / 4)

x1 80 10 1 1/2 1/4 0 10/1/2 = 20

(R2=R2– 2R1)

s2 0 12 0 3 -1/2 1 12/3 = 4→ outgoing

↑incoming
Z = 800 Δ1=0 Δ2= -15 Δ3=40 Δ4=0
(R1=R1– 1/2R2)

x1 80 8 1 0 1/3 -1/6

(R2=R2 / 3)
x2 55 4 0 1 -1/6 1/3

Z = 860 Δ1=0 Δ2=0 Δ3=35/2 Δ4=5

Since all Δj ≥ 0, optimal basic feasible solution is obtained. Therefore the solution is Max Z
= 860, x1 = 8 and x2 = 4

Solved Problems:
Example 2
Maximize Z = 5x1 + 7x2
Subject to x1 + x2 ≤ 4
3x1 – 8x2 ≤ 24

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 Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

10x1 + 7x2 ≤ 35
and x1 ≥ 0, x2 ≥ 0
Solution
SLPP
Maximize Z = 5x1 + 7x2 + 0s1 + 0s2 + 0s3
Subject to
x1 + x2 + s1= 4
3x1 – 8x2 + s2= 24
10x1 + 7x2 + s3= 35
x1 ≥ 0, x2 ≥ 0, s1 ≥ 0, s2 ≥ 0, s3 ≥ 0

Cj → 5 7 0 0 0
Basic CB XB X1 X2 S1 S2 S3 Min ratio
Variables   XB /Xk
s1 0 4 1 1 1 0 0 4 /1 = 4→outgoing

s2 0 24 3 -8 0 1 0 –

s3 10 7 0 0 1 35 / 7 = 5
0 35

↑incoming
Z= CB XB = 0 -5 -7 0 0 0 ←Δj

x2 7 4 1 1 1 0 0

(R2 = R2 + 8R1)

s2 11 0 8 1 0
0 56

(R3 = R3 – 7R1)
3 0 -7 0 1
s3 0 7

Z = 28 2 0 7 0 0 ←Δj

Since all Δj ≥ 0, optimal basic feasible solution is obtained

Therefore the solution is Max Z = 28, x1 = 0 and x2 = 4

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 Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Example 3
Maximize Z = 2x – 3y + z
Subject to
3x + 6y + z ≤ 6
4x + 2y + z ≤ 4
x – y + z≤ 3
and x ≥ 0, y ≥ 0, z ≥ 0

Solution
SLPP
Maximize Z = 2x – 3y + z + 0s1 + 0s2 + 0s3
Subject to
3x + 6y + z + s1= 6
4x + 2y + z + s2= 4
x – y + z + s3= 3
x ≥ 0, y ≥ 0, z ≥ 0 s1 ≥ 0, s2 ≥ 0, s3 ≥ 0

Cj → 2 -3 1 0 0 0
Basic CB XB X Y Z S1  S 2 S3 Min ratio
Variables   XB /Xk
s1 0 6 3 6 1 1 0 0 6/3=2

s2 0 4 4 2 1 0 1 0 4 / 4 =1→ outgoing

s3 1 -1 1 0 0 1 3/1=3
0 3

↑incoming
Z=0 -2 3 -1 0 0 0 ←Δj

s1 0 3 0 9/2 1/4 1 -3/4 0 3/1/4=12

x 2 1 1 1/2 1/4 0 1/4 0 1/1/4=4

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 Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

s3 0 2 8/3 = 2.6→
0 -3/2 3/4 0 -1/4 1

↑incoming
Z=2 0 4 1/2 0 1/2 0 ←Δj

s1 0 7/3 0 5 0 1 -2/3 -1/3

x 1 1 0 0 1/3 -1/3
2 1/3

z 0 -2 1 0 -1/3 4/3
1 8/3

Z = 10/3 0 3 0 0 1/3 2/3 ←Δj

Since all Δj ≥ 0, optimal basic feasible solution is obtained. Therefore the solution is Max Z
= 10/3, x = 1/3, y = 0 and z = 8/3

Exercise
Solve by simplex method
1. Maximize Z = 5x1 + 3x2

Subject to
3x1 + 5x2 ≤ 15
5x1 + 2x2 ≤ 10
and x1 ≥ 0, x2 ≥ 0
[Ans. Max Z = 235/19, x1= 20/19, x2= 45/19]
2. Minimize Z = x1 – 3x2 + 2x3
Subject to
3x1 – x2 + 3x3 ≤ 7
-2x1 + 4x2 ≤ 12
-4x1 + 3x2 + 8x3 ≤ 10
and x1 ≥ 0, x2 ≥ 0, x3 ≥ 0
[Ans. Min Z = -11, x1 = 4, x2 = 5, x3 = 0]

49
Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Unit 7 Game Th
heory: Siimplex Meethod Appplication

Let us consider thhe 3 x 3 mattrix

As per the
t assumpttions, A alw
ways attemppts to choosee the set of strategies with
w the nonn-zero
probabilities say p1, p2, p3 whhere p1 + p2 + p3 = 1 that
t maximizes his min
nimum exppected
gain.

Similarlly B would choose the set of strategies with the

t non-zero
o probabilitties say q1, q2, q3
where q1 + q2 + q3 = 1 that minnimizes his maximum expected looss.

Step 1
Find thee minimax and
a maximiin value from
m the givenn matrix

Step 2
mizing the value
The objjective of A is to maxiimize the vaalue, whichh is equivaleent to minim
1/V. Thhe LPP is wrritten as
Min
n 1/V = p1/V
V + p2/V + p3/V
and constraints ≥ 1
It is wriitten as
Min
n 1/V = x1 + x2 + x3
and constraints ≥ 1

Similarlly for B, wee get the LP

PP as the duaal of the aboove LPP
Max
x 1/V = Y1 + Y2 + Y3
and constraints ≤ 1
Wheere Y1 = q1/V,
/ Y2 = q2/V,
/ Y3 = q3/V
V

Step 3
Solve thhe LPP by using
u d obtain the best strateggy for the pllayers
simpleex table and

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Example 1
Solve by Simplex method

Solution
n

We cann infer that 2 ≤ V ≤ 3.. Hence it can

c be conccluded that the value of the game lies
betweenn 2 and 3 annd the V > 0.
0

LPP
V = Y1 + Y2 + Y3
Max 1/V
Subject to
3 1 – 2Y2 + 4Y3 ≤ 1
3Y
- 1 + 4Y2 + 2Y3 ≤ 1
-1Y
2 1 + 2Y2 + 6Y3 ≤ 1
2Y
Y1, Y2, Y3 ≥ 0

SLPP
V = Y1 + Y2 + Y3 + 0s1 + 0s2 + 0s3
Max 1/V
Subject to
3 1 – 2Y2 + 4Y3 + s1 = 1
3Y
- 1 + 4Y2 + 2Y3 + s2 =1
-1Y
2 1 + 2Y2 + 6Y3 + s3 = 1
2Y
Y1, Y2, Y3, s1, s2, s3 ≥ 0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Cj→ 1 1 1 0 0 0
Basic Min Ratio
CB YB Y1 Y2 Y3 S1 S2 S3
Variables Y B / YK
S1 0 1 3 -2 4 1 0 0 1/3→
S2 0 1 -1 4 2 0 1 0 -
S3 0 1 2 2 6 0 0 1 1/2
↑
1/V = 0 -1 -1 -1 0 0 0
Y1 1 1/3 1 -2/3 4/3 1/3 0 0 -
S2 0 4/3 0 10/3 10/3 1/3 1 0 2/5
S3 0 1/3 0 10/3 10/3 -2/3 0 1 1/10→
↑
1/V =1/3 0 -5/3 1/3 1/3 0 0
Y1 1 2/5 1 0 2 1/5 0 1/5
S2 0 1 0 0 0 1 1 -1
Y2 1 1/10 0 1 1 -1/5 0 3/10

1/V = 1/2 0 0 2 0 0 1/2

1/V =1/2
V=2

y1 = 2/5 * 2 = 4/5
y2 = 1/10 * 2 = 1/5
y3 = 0 * 2 = 0

x1 = 0*2 = 0
x2 = 0*2 = 0
x3 = 1/2*2 = 1

SA = (0, 0, 1)
SB = (4/5, 1/5, 0)
Value = 2

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Example 2

Solution
n

Maximiin = -1
Minimaax = 1

We can infer that -1 ≤ V ≤ 1

maximin vallue is -1, it is possiblee that value of the gam

Since m me may be negative
n or zero,
thus thee constant ‘C’ is addedd to all the elements oof matrix whhich is at leeast equal to
t the
negativee of maximiin.

Let C = 1, add this value to alll the elemennts of the matrix.

m The resultant
r maatrix is

LPP
Max 1/V
V = Y1 + Y2 + Y3
Subject to
2 1 + 0Y2 + 0Y3 ≤ 1
2Y
0 1 + 0Y2 + 4Y3 ≤ 1
0Y
0 1 + 3Y2 + 0Y3 ≤ 1
0Y
Y1, Y2, Y3 ≥ 0

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

SLPP
Max 1/V = Y1 + Y2 + Y3 + 0s1 + 0s2 + 0s3
Subject to
2Y1 + 0Y2 + 0Y3 + s1 = 1
0Y1 + 0Y2 + 4Y3 + s2 = 1
0Y1 + 3Y2 + 0Y3 + s3 = 1
Y1, Y2, Y3, s1, s2, s3 ≥ 0

Cj→ 1 1 1 0 0 0
Basic Min Ratio
CB YB Y1 Y2 Y3 S1 S2 S3
Variables Y B / YK
S1 0 1 2 0 0 1 0 0 1/2→
S2 0 1 0 0 4 0 1 0 -
S3 0 1 0 3 0 0 0 1 -
↑
1/V =0 -1 -1 -1 0 0 0
Y1 1 1/2 1 0 0 1/2 0 0 -
S2 0 1 0 0 4 0 1 0 -
S3 0 1 0 3 0 0 0 1 1/3→
↑
1/V =1/2 0 -1 -1 1/2 0 0
Y1 1 1/2 1 0 0 1/2 0 0 -
S2 0 1 0 0 4 0 1 0 1/4→
Y2 1 1/3 0 1 0 0 0 1/3 -
↑
1/V = 5/6 0 0 -1 1/2 0 1/3
Y1 1 1/2 1 0 0 1/2 0 0
Y3 1 1/4 0 0 1 0 1/4 0
Y2 1 1/3 0 1 0 0 0 1/3

1/V =13/12 0 0 0 1/2 1/4 1/3

1/V =13/12

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

V = 12/13

y1 = 1/2 * 12/13 = 6/13

y2 = 1/3 * 12/13 = 4/13
y3 = 1/4 * 12/13 = 3/13

x1 = 1/2*12/13 = 6/13
x2 = 1/4 * 12/13 = 3/13
x3 = 1/3 * 12/13 = 4/13

SA = (6/13, 3/13, 4/13)

SB = (6/13, 4/13, 3/13)

Value = 12/13 – C =12/13 -1 = -1/13

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Unit 8: Assignm
ment Prob
blem
8.1 Introoduction to Assignmennt Problem
8.2 Algoorithm for Assignment
A Problem
8.3 Worrked Exampples
8.4 Unbbalanced Asssignment Problem
P
8.5 Maxximal Assignnment Probblem

8.1 Inttroduction
n to Assiggnment Problem

In assiggnment probblems, the objective

o is to assign a number of jobs
j to the equal numbber of
mum cost of maximum profit.
persons at a minim p

med and ‘n’’ persons arre availablee for doing these

Supposee there are ‘n’ jobs to be perform
jobs. Asssume each
h person cann do each job at a tim
me with a vaarying degrree of efficiiency.
Let cij be the cosst of ith peerson assignned to jth job.
j Then the problem
m is to finnd an
assignm
ment so thatt the total cost
c for performing alll jobs is miinimum. Suuch problem
ms are
known aas assignment problem
ms.

These pproblems maay consist of

o assigningg men to off
ffices, classees to the roo
oms or probblems
to the reesearch team
m etc.

Mathem
matical form
mulation
Cost maatrix: cij= c11 c12 c13 … c1n
c21 c22 c23
2 … c2n
.

cn1 cn2 cn3 … cnn

Subject to restrictio
ons of the foorm

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Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

t jth job iss to be assiggned to the ith person.

Where xij denotes that

This speecial structu blem allows a more connvenient meethod of sollution

ure of assignnment prob
in compparison to siimplex methhod.

8.2 Alggorithm for

f Assign
nment Pro
oblem (H
Hungarian
n Method))

Step 1
Subtract the minim
mum of eachh row of thee effectiveneess matrix, from all thee elements of
o the
respectiive rows (Row reducedd matrix).

Step 2
Further modify thee resulting matrix
m by subtracting
s um element of each coolumn
the minimu
from alll the elemennts of the reespective columns. Thuus first modiified matrixx is obtainedd.

Step 3
Draw thhe minimum
m number of
o horizontaal and vertical lines too cover all the
t zeroes in
i the
resultingg matrix. Let
L the miinimum nuumber of lines be N. Now there may bee two
possibillities
 I N = n, the numbeer of rows (columns) of the giveen matrix then
If t an opptimal
a
assignment can be madde. So makee the zero asssignment to get the required soluttion.

 I N < n theen proceed to

If t step 4

Step 4
Determiine the sm ment in the matrix, noot covered by N linees. Subtractt this
mallest elem
minimuum elementt from all uncovered
d elements and add the same element aat the
intersecction of horiizontal and vertical
v linees. Thus thee second mo
odified matrrix is obtainned.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Step 5
Repeat step 3 and step 4 until minimum number of lines become equal to number of rows
(columns) of the given matrix i.e. N = n.

Step 6
To make zero assignment - examine the rows successively until a row-wise exactly single
zero is found; mark this zero by ‘1’‘to make the assignment. Then, mark a ‘X’ over all
zeroes if lying in the column of the marked zero, showing that they cannot be considered
for further assignment. Continue in this manner until all the rows have been examined.
Repeat the same procedure for the columns also.

Step 7
Repeat the step 6 successively until one of the following situations arise
 If no unmarked zero is left, then process ends

 If there lies more than one of the unmarked zeroes in any column or row, then mark
‘1’‘one of the unmarked zeroes arbitrarily and mark a cross in the cells of
remaining zeroes in its row and column. Repeat the process until no unmarked zero
is left in the matrix.

Step 8
Exactly one marked zero in each row and each column of the matrix is obtained. The
assignment corresponding to these marked zeroes will give the optimal assignment.

8.3 Worked Examples

Example 1

A department head has four subordinates and four tasks have to be performed.
Subordinates differ in efficiency and tasks differ in their intrinsic difficulty. Time each
man would take to perform each task is given in the effectiveness matrix. How the tasks
should be allocated to each person so as to minimize the total man-hours?

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‫اﻟﻬﻧدﺳﺔ‬

S
Subordinate s
I II III V
IV
Tasks A 8 26 17 111
B 13
3 28 4 266
C 38
8 19 18 155
D 19
9 26 24 100

Solution
n

Row Reeduced Matrrix

0 18 9 3
9 24 0 22
23 4 3 0
9 16 14 0

I Modiffied Matrix

N = 4, n = 4
Since N = n, we moove on to zeero assignm
ment

Zero asssignment

Total m
man-hours = 8 + 4 + 19 + 10 = 41 hours
h

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Example 2
Solve thhe assignmeent problem
m whose effeectiveness matrix
m is giv
ven in the taable

1 2 3 4
A 49 60 45 6
61
B 55 63 45 6
69
C 52 62 49 6
68
D 55 64 48 6
66

Solution
n

Row-Reeduced Mattrix
4 15 0 16
10 18 0 24
3 13 0 19
7 16 0 18

I Modiffied Matrix

N < n i.e 3 < 4, so II

I modified matrix

II Modiified Matrixx

N < n i.e 3 < 4

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III Moddified matrix

x

Since N = n, we moove on to zeero assignm

ment

Zero asssignment

Multiplee optimal asssignments exists

Solutionn - I

Total coost = 49 + 45
4 + 62 + 666 = 222 unitts

Solutionn – II

Minimuum cost = 61 + 45 + 522 + 64 = 222

2 units

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Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

8.4 Un
nbalanced
d Assignm
ment Prob
blems
If the nuumber of ro
ows and collumns are not
n equal thhen such typpe of probleems are callled as
unbalannced assignm
ment probleems.

Example 1
A comppany has 4 machines on
o which too do 3 jobs.. Each job can be assigned to onee and
only one machine. The cost off each job onn each machhine is giveen in the following tablle

Macchines
W X Y Z
A 18 24 288 32
Jobs
B 8 13 177 19
C 10 15 199 22

Solutionn

18 24 28 32
8 13 17 19
10 15 19 22
0 0 0 0

Row Reeduced matrrix

0 6 10 14
0 5 9 11
0 5 9 12
0 0 0 0

I Modiffied Matrix

N < n i.e. 2 < 4

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II Modiified Matrixx

N < n i.e. 3 < 4

III Moddified Matrixx

N=n
Zero asssignment

Multiplee assignmen
nts exists
Solutionn -I

Minimuum cost = 18
8 + 13 + 19 = 50 ID
Solutionn -II

8 + 17 + 15 = 50 ID
Minimuum cost = 18

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

8.5 Maximal Assignment Problem

Example 1
A company has 5 jobs to be done. The following matrix shows the return in terms of
Dinars on assigning ith ( i = 1, 2, 3, 4, 5 ) machine to the jth job ( j = A, B, C, D, E ). Assign
the five jobs to the five machines so as to maximize the total expected profit.

Jobs
A B C D E
1 5 11 10 12 4
2 2 4 6 3 5
Machines
3 3 12 5 14 6
4 6 14 4 11 7
5 7 9 8 12 5

Solution

Subtract all the elements from the highest element

Highest element = 14

9 3 4 2 10
12 10 8 11 9
11 2 9 0 8
8 0 10 3 7
7 5 6 2 9

Row Reduced matrix

7 1 2 0 8
4 2 0 3 1
11 2 9 0 8
8 0 10 3 7
5 3 4 0 7

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I Modiffied Matrix

N < n i.e. 3 < 5

II Modiified Matrixx

N < n i.e. 4 < 5

III Moddified Matrixx

N=n
Zero asssignment

Optimall assignmen
nt 1 – C 2 – E 3 – D 4 – B 5 – A
Maximuum profit = 10 + 5 + 144 + 14 + 7 = 50 ID.

65
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Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Exerciise
1- Whatt is assignm m? Give anyy two areas of its appliccations.
ment problem
2- Certaain equipment needs 5 repair jobbs which haave to be asssigned to 5 machines. The
estimateed time (in hours)
h that a mechanicc requires too complete the
t repair joob is given in
i the
table. A
Assuming th
hat each mecchanic can be
b assignedd only one job, determiine the miniimum
time asssignment.

J1 J22 J3 J4 J5
M1 7 5 9 8 11
M2 9 12
2 7 11 10
M3 8 5 4 6 9
M4 7 3 6 9 5
M5 4 6 7 5 11
Ans.

Minimuum time = 5 + 7 + 6 + 5 + 4 = 27 hours.

h

3- Solvee the assign

nment probleem whose effectivenes
e ss matrix is given in thee table

R1 R2
R R3 R4
C1 9 14
4 19 15
C2 7 17 20 19
C3 9 18 21 18
C4 10 2
12 18 19
C5 10 15 21 16

Ans.

Minimuum cost = 19
9 + 7 + 12 + 16 = 54 unnits

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

4- The jobs A, B, C are to be assigned to three machines X, Y, Z. The processing costs

(ID.) are as given in the matrix below. Find the allocation which will minimize the overall
processing cost.
X Y Z
A 19 28 31
B 11 17 16
C 12 15 13

[Ans. A – X, B - Y, C – Z]

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

Unit 9
9.1 Introoduction to Transportaation Probleem
9.2 Matthematical Formulation
F n
9.3 Tabular Repressentation
9.4 Somme Basic Defefinitions
9.5 Metthods for Iniitial Basic Feasible
F Solution
9.6 Examining the Initial
I Basiic Feasible Solution
S forr Non-Degeeneracy
9.7 Trannsportation Algorithm forf Minimizzation Probblem

9.1 Inttroduction
n to Tran
nsportatioon Problem
m
n problem is to transsport variouus amounts of a singlle homogenneous
The Traansportation
commoddity that arre initially stored
s at vaarious origiins, to diffeerent destinnations in suuch a
way thaat the total trransportatioon cost is a minimum.
m
It can allso be defin
ned as to shhip goods from various origins to various
v desstinations inn such
a manneer that the trransportatioon cost is a minimum.
m
The avaailability as well as the requiremennts is finite.. It is assum
med that the cost of shippping
is linearr.
9.2 Maathematiccal Formu
ulation
gins, ith origin possessin
Let therre be m orig ng ai units of
o a certain product
p
Let therre be n destiinations, wiith destination j requirinng bj units of
o a certain product
Let cij bbe the cost of
o shipping one om ith sourcee to jth destiination
o unit fro
unt to be shippped from ith source too jth destinattion
Let xij bbe the amou
It is asssumed that the
t total avaailabilities Σa
Σ i satisfy thhe total requuirements Σb
Σ j i.e.
Σai = Σbbj (i = 1, 2, 3 … m and j = 1, 2, 3 …n)
…
The prooblem now
w, is to dettermine nonn-negative of xij satissfying both the availaability
constraiints

as well as requirem
ment constraaints

and the minimizingg cost of traansportation

n (shipping)

This speecial type of LPP is callled as Tran

nsportation
n Problem.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

9.3 Tabular Representation

Let ‘m’ denote number of factories (F1, F2 … Fm)
Let ‘n’ denote number of warehouse (W1, W2 … Wn)

W→
F Capacities
W1 W2 … Wn
↓ (Availability)
F1 c11 c12 … c1n a1
F2 c21 c22 … c2n a2
. . . . . .
. . . . . .
Fm cm1 cm2 … cmn am
Required b1 b2 … bn Σai = Σbj
W→
F Capacities
W1 W2 … Wn
↓ (Availability)
F1 x11 x12 … x1n a1
F2 x21 x22 … x2n a2
. . . . . .
. . . . . .
Fm xm1 xm2 … xmn am
Required b1 b2 … bn Σai = Σbj

In general these two tables are combined by inserting each unit cost cij with the
corresponding amount xij in the cell (i, j). The product cij xij gives the net cost of shipping
units from the factory Fi to warehouse Wj.

9.4 Some Basic Definitions

 Feasible Solution

A set of non-negative individual allocations (xij ≥ 0) which simultaneously removes

deficiencies is called as feasible solution.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

 Basic Feasible Solution

A feasible solution to ‘m’ origin, ‘n’ destination problem is said to be basic if the
number of positive allocations are m+n-1. If the number of allocations is less than
m+n-1 then it is called as Degenerate Basic Feasible Solution. Otherwise it is
called as Non- Degenerate Basic Feasible Solution.
 Optimum Solution

A feasible solution is said to be optimal if it minimizes the total transportation cost.

9.5 Methods for Initial Basic Feasible Solution

Some simple methods to obtain the initial basic feasible solution are
1. North-West Corner Rule

2. Row Minima Method

3. Column Minima Method

4. Lowest Cost Entry Method (Matrix Minima Method)

5. Vogel’s Approximation Method (Unit Cost Penalty Method)

9.5.1 North-West Corner Rule

Step 1
 The first assignment is made in the cell occupying the upper left-hand (north-west)
corner of the table.

 The maximum possible amount is allocated here i.e. x11 = min (a1, b1). This value
of x11 is then entered in the cell (1,1) of the transportation table.

Step 2
i. If b1 > a1, move vertically downwards to the second row and make the second
allocation of amount x21 = min (a2, b1 - x11) in the cell (2, 1).

ii. If b1 < a1, move horizontally right side to the second column and make the second
allocation of amount x12 = min (a1 - x11, b2) in the cell (1, 2).

iii. If b1 = a1, there is tie for the second allocation. One can make a second allocation of
magnitude x12 = min (a1 - a1, b2) in the cell (1, 2) or x21 = min (a2, b1 - b1) in the cell
(2, 1)

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Step 3
Start from the new north-west corner of the transportation table and repeat steps 1 and 2
until all the requirements are satisfied.

Find the initial basic feasible solution by using North-West Corner Rule

W→
F Factory
W1 W2 W3 W4
↓ Capacity
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 8 70 20 18
Warehouse
5 8 7 14 34
Requirement

Solution
W1 W2 W3 W5 Availability

5 2
F1 7 2 0
(19) (30)
6 3
F2 9 3 0
(30) (40)
4 14
F3 18 14 0
(70) (20)

5 8 7 14
Requirement 0 6 4 0
0 0
Initial Basic Feasible Solution
x11 = 5, x12 = 2, x22 = 6, x23 = 3, x33 = 4, x34 = 14
The transportation cost is 5 (19) + 2 (30) + 6 (30) + 3 (40) + 4 (70) + 14 (20) = 1015

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

9.5.2 Row Minima Method

Step 1
 The smallest cost in the first row of the transportation table is determined.

 Allocate as much as possible amount xij = min (a1, bj) in the cell (1, j) so that the
capacity of the origin or the destination is satisfied.

Step 2
 If x1j = a1, so that the availability at origin O1 is completely exhausted, cross out the
first row of the table and move to second row.

 If x1j = bj, so that the requirement at destination Dj is satisfied, cross out the jth
column and reconsider the first row with the remaining availability of origin O1.

 If x1j = a1 = bj, the origin capacity a1 is completely exhausted as well as the

requirement at destination Dj is satisfied. An arbitrary tie-breaking choice is made.
Cross out the jth column and make the second allocation x1k = 0 in the cell (1, k)
with c1k being the new minimum cost in the first row. Cross out the first row and
move to second row.

Step 3
Repeat steps 1 and 2 for the reduced transportation table until all the requirements are
satisfied
Determine the initial basic feasible solution using Row Minima Method

W1 W2 W3 W4 Availability
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 80 70 20 18
Requirement 5 8 7 14

Solution

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4
7
X 
F1 (19) (30) (50) (10)

F2 9
(70) (30) (40) (60)

F3 18
(40) (80) (70) (20)
5 8 7 7

W1 W2 W3 W4
7
X 
F1 (19) (30) (50) (10)
8
F2 (70) (30) (40) (60) 1

F3 18
(40) (80) (70) (20)
5 X  7 7

W1 W2 W3 W4
7
X 
F1 (19) (30) (50) (10)
8 1
X 
F2 (70) (30) (40) (60)

F3 (40) (80) (70) (20) 18

5 X  6 7

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4
7
X 
F1 (19) (30) (50) (10)
8 1
X 
F2 (70) (30) (40) (60)
5 6 7
X 
F3 (40) (80) (70) (20)
X  X  X  X 
Initial Basic Feasible Solution
x14 = 7, x22 = 8, x23 = 1, x31 = 5, x33 = 6, x34 = 7
The transportation cost is 7 (10) + 8 (30) + 1 (40) + 5 (40) + 6 (70) + 7 (20) = 1110

9.5.3 Column Minima Method

Step 1
Determine the smallest cost in the first column of the transportation table. Allocate xi1 =
min (ai, b1) in the cell (i, 1).
Step 2
 If xi1 = b1, cross out the first column of the table and move towards right to the
second column

 If xi1 = ai, cross out the ith row of the table and reconsider the first column with the
remaining demand.

 If xi1 = b1= ai, cross out the ith row and make the second allocation xk1 = 0 in the
cell (k, 1) with ck1 being the new minimum cost in the first column, cross out the
column and move towards right to the second column.

Step 3
Repeat steps 1 and 2 for the reduced transportation table until all the requirements are
satisfied.

Use Column Minima method to determine an initial basic feasible solution

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4 Availability
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 80 70 20 18
Requirement 5 8 7 14

Solution
W1 W2 W3 W4
5
F1 2
(19) (30) (50) (10)

9
F2 (70) (30) (40) (60)

18
F3 (40) (80) (70) (20)
X  8 7 14

W1 W2 W3 W4
5 2
F1 X 
(19) (30) (50) (10)

9
F2 (70) (30) (40) (60)

18
F3 (40) (80) (70) (20)
X  6 7 14

W1 W2 W3 W4
5 2
F1 X 
(19) (30) (50) (10)
6
F2 3
(70) (30) (40) (60)

18
F3 (40) (80) (70) (20)
X  X  7 14

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4

5 2
F1 X 
(19) (30) (50) (10)
6 3
F2 X 
(70) (30) (40) (60)

18
F3 (40) (80) (70) (20)
X  X  4 14

W1 W2 W3 W4
5 2
F1 X 
(19) (30) (50) (10)
6 3
F2 X 
(70) (30) (40) (60)
4
F3 14 
(40) (80) (70) (20)
X  X  X  14

W1 W2 W3 W4
5 2
F1 X 
(19) (30) (50) (10)
6 3
F2 X 
(70) (30) (40) (60)
4 14
F3 X 
(40) (80) (70) (20)
X  X  X  X

Initial Basic Feasible Solution

x11 = 5, x12 = 2, x22 = 6, x23 = 3, x33 = 4, x34 = 14
The transportation cost is 5 (19) + 2 (30) + 6 (30) + 3 (40) + 4 (70) + 14 (20) = 1015

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

9.5.4 Lowest Cost Entry Method (Matrix Minima Method)

Step 1
Determine the smallest cost in the cost matrix of the transportation table. Allocate xij = min
(ai, bj) in the cell (i, j)
Step 2
 If xij = ai, cross out the ith row of the table and decrease bj by ai. Go to step 3.

 If xij = bj, cross out the jth column of the table and decrease ai by bj. Go to step 3.

 If xij = ai = bj, cross out the ith row or jth column but not both.

Step 3
Repeat steps 1 and 2 for the resulting reduced transportation table until all the requirements
are satisfied. Whenever the minimum cost is not unique, make an arbitrary choice among
the minima.
Find the initial basic feasible solution using Matrix Minima method

W1 W2 W3 W4 Availability
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 8 70 20 18
Requirement 5 8 7 14

Solution

W1 W2 W3 W4

F1 7
(19) (30) (50) (10)

F2 9
(70) (30) (40) (60)

F3 8 10
(40) (8) (70) (20)
5 X  7 14

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4
7
F1 X 
(19) (30) (50) (10)

F2 9
(70) (30) (40) (60)
8
F3 10
(40) (8) (70) (20)
5 X  7 7

W1 W2 W3 W4
7
F1 X 
(19) (30) (50) (10)

F2 9
(70) (30) (40) (60)
8 7
F3 3
(40) (8) (70) (20)
5 X  7 X 

W1 W2 W3 W4
7
F1 X 
(19) (30) (50) (10)

F2 9
(70) (30) (40) (60)
3 8 7
F3 X 
(40) (8) (70) (20)
2 X  7 X 
 

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4
7
F1 X 
(19) (30) (50) (10)
2 7
F2 X 
(70) (30) (40) (60)
3 8 7
F3 X 
(40) (8) (70) (20)
X  X  X  X 
Initial Basic Feasible Solution

x14 = 7, x21 = 2, x23 = 7, x31 = 3, x32 = 8, x34 = 7

The transportation cost is 7 (10) + 2 (70) + 7 (40) + 3 (40) + 8 (8) + 7 (20) = 814

9.5.5 Vogel’s Approximation Method (Unit Cost Penalty Method)

Step1
For each row of the table, identify the smallest and the next to smallest cost. Determine
the difference between them for each row. These are called penalties. Put them aside by
enclosing them in the parenthesis against the respective rows. Similarly compute penalties
for each column.
Step 2
Identify the row or column with the largest penalty. If a tie occurs then use an arbitrary
choice. Let the largest penalty corresponding to the ith row have the cost cij. Allocate the
largest possible amount xij = min (ai, bj) in the cell (i, j) and cross out either ith row or jth
column in the usual manner.
Step 3
Again compute the row and column penalties for the reduced table and then go to step 2.
Repeat the procedure until all the requirements are satisfied.
Find the initial basic feasible solution using vogel’s approximation method

W1 W2 W3 W4 Availability
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 8 70 20 18
Requirement 5 8 7 14

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Solution

W1 W2 W3 W4 Availability Penalty
F1 19 30 50 10 7 19-10=9
F2 70 30 40 60 9 40-30=10
F3 40 8 70 20 18 20-8=12
Requirement 5 8 7 14
Penalty 40-19=21 30-8=22 50-40=10 20-10=10

W1 W2 W3 W4 Availability Penalty
F1 (19) (30) (50) (10) 7 9
F2 (70) (30) (40) (60) 9 10
F3 (40) 8(8) (70) (20) 18/10 12
Requirement 5 8/0 7 14
Penalty 21 22 10 10
 

W1 W2 W3 W4 Availability Penalty
F1 5(19) (30) (50) (10) 7/2 9
F2 (70) (30) (40) (60) 9 20
F3 (40) 8(8) (70) (20) 18/10 20
Requirement 5/0 X  7 14
Penalty 21 X 10 10
 

W1 W2 W3 W4 Availability Penalty
F1 5(19) (30) (50) (10) 7/2 40
F2 (70) (30) (40) (60) 9 20
F3 (40) 8(8) (70) 10(20) 18/10/0 50
Requirement X  X  7 14/4
Penalty X X 10 10

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

W1 W2 W3 W4 Availability Penalty
F1 5(19) (30) (50) 2(10) 7/2/0 40
F2 (70) (30) (40) (60) 9 20
F3 (40) 8(8) (70) 10(20) X  X 
Requirement X  X  7 14/4/2
Penalty X X 10 50

W1 W2 W3 W4 Availability Penalty
F1 5(19) (30) (50) 2(10) X  X 
F2 (70) (30) 7(40) 2(60) X  X 
F3 (40) 8(8) (70) 10(20) X  X 
Requirement X  X  X X
Penalty X X X X

Initial Basic Feasible Solution

x11 = 5, x14 = 2, x23 = 7, x24 = 2, x32 = 8, x34 = 10
The transportation cost is 5 (19) + 2 (10) + 7 (40) + 2 (60) + 8 (8) + 10 (20) = 779

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

9.6 Exxamining the

t Initiaal Basic Feeasible Soolution for Non-Deegeneracyy
Examinne the initiaal basic feaasible solutiion for nonn-degeneraccy. If it is said to be non-
degenerrate then it has
h the folloowing two properties
p
 I
Initial basicc feasible soolution musst contain exxactly m + n – 1 numbber of indivvidual
a
allocations.

 T
These alloccations mustt be in indep
pendent possitions

Indepenndent Positioons

          
        
      

         
       
         

Non-Inddependent Positions
P

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

9.7 T
Transporttation Allgorithm for Minimizatioon Prob
blem (MODI
Methood)

Step 1
Construuct the tran
nsportation table enttering the origin cap
pacities ai, the destinnation
ment bj and the cost cij
requirem

Step 2
Find an initial basicc feasible soolution by vogel’s
v methhod or by any
a of the giiven methodd.

Step 3
For all tthe basic vaariables xij, solve
s the syystem of equuations ui + vj = cij, forr all i, j for which
w
cell (i, jj) is in the basis,
b startinng initially with some ui = 0, calcculate the vaalues of ui and
a vj
on the trransportatioon table

Step 4
Computte the cost differences
d dij = cij – ( ui + vj ) for all the non--basic cells

Step 5
Apply optimality
o teest by exam
mining the siign of each dij
 I all dij ≥ 0,
If 0 the currennt basic feassible solutioon is optimaal

 I at least onne dij < 0, select the vaariable xrs (m

If most negativve) to enter the basis.

 Solution unnder test is not

n optimall if any dij is
i negative and furtherr improvement is
r
required by
y repeating the
t above prrocess.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Step 6
Let the variable xrs enter the basis. Allocate an unknown quantity Ө to the cell (r, s). Then
construct a loop that starts and ends at the cell (r, s) and connects some of the basic cells.
The amount Ө is added to and subtracted from the transition cells of the loop in such a
manner that the availabilities and requirements remain satisfied.

Step 7
Assign the largest possible value to the Ө in such a way that the value of at least one basic
variable becomes zero and the other basic variables remain non-negative. The basic cell
whose allocation has been made zero will leave the basis.

Step 8
Now, return to step 3 and repeat the process until an optimal solution is obtained.

Example
Find an optimal solution
W1 W2 W3 W4 Availability
F1 19 30 50 10 7
F2 70 30 40 60 9
F3 40 8 70 20 18
Requirement 5 8 7 14

Solution

1. Applying vogel’s approximation method for finding the initial basic feasible
solution

W1 W2 W3 W4 Availability Penalty
F1 5(19) (30) (50) 2(10) X  X 
F2 (70) (30) 7(40) 2(60) X  X 
F3 (40) 8(8) (70) 10(20) X  X 
Requirement X  X  X X
Penalty X X X X

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Minimum transportation cost is 5 (19) + 2 (10) + 7 (40) + 2 (60) + 8 (8) + 10 (20) = 779
2. Check for Non-degeneracy
The initial basic feasible solution has m + n – 1 i.e. 3 + 4 – 1 = 6 allocations in independent
positions. Hence optimality test is satisfied.

3. Calculation of ui and vj : - ui + vj = cij

ui
 (19)  (10) u1= -10

 (40)  (60) u2 = 40

 (8)  (20) u3 = 0

vj v1 = 29 v2 = 8 v3 = 0 v4 = 20

Assign a ‘u’ value to zero. (Convenient rule is to select the ui, which has the largest
number of allocations in its row)
Let u3 = 0, then
u3 + v4= 20 which implies 0 + v4 = 20, so v4 = 20
u2 + v4= 60 which implies u2 + 20 = 60, so u2 = 40
u1 + v4= 10 which implies u1 + 20 = 10, so u1 = -10
u2 + v3= 40 which implies 40 + v3 = 40, so v3 = 0
u3 + v2= 8 which implies 0 + v2 = 8, so v2 = 8
u1 + v1= 19 which implies -10 + v1= 19, so v1 = 29
4. Calculation of cost differences for non basic cells dij = cij – ( ui + vj )

cij ui + vj
 (30) (50)   -2 -10 

(70) (30)   69 48  

(40)  (70)  29  0 

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Industrrial Engineeering Dr.B
Basil Aljoraani Mecch. Eng. Dep
ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

dij = cij – ( ui + vj )
 32 60 

1 -18  

11  70 

5. Optim
mality test
dij < 0 i..e. d22 = -188
so x22 iss entering thhe basis

6. Consstruction off loop and allocation

a o unknown
of n quantity Ө

We alloocate Ө to thhe cell (2, 2).

2 Reallocattion is donee by transferrring the maaximum posssible
amount Ө in the marked
m cell. The value of
o Ө is obtaained by equuating to zeero to the coorners
of the cllosed loop. i.e. min(8-Ө
Ө, 2-Ө) = 0 which givees Ө = 2. Th
herefore x244 is outgoingg as it
becomees zero.

5 (19) 2 (110)
2 (30) 7 (40)
6 (8) 12 (20)
(

Minimuum transportation cost is

i 5 (19) + 2 (10) + 2 (330) + 7 (40)) + 6 (8) + 12
1 (20) = 7443

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

7. Improved Solution

ui
 (19)  (10) u1= -10

 (30)  (40) u2 = 22

 (8)  (20) u3 = 0

vj v1 = 29 v2 = 8 v3 = 18 v4 = 20
cij ui + vj
 (30) (50)   -2 8 

(70)   (60) 51   42

(40)  (70)  29  18 

dij = cij – ( ui + vj )
 32 42 

19   18

11  52 

Since dij > 0, an optimal solution is obtained with minimal cost 743

Solved problem
Is x13 = 50, x14 = 20, x21 = 55, x31 = 30, x32 = 35, x34 = 25 an optimal solution to the
transportation problem.

Available
6 1 9 3 70
From 11 5 2 8 55
10 12 4 7 90
Required 85 35 50 45

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Solution

Available
50(9) 20(3) X 
From 55(11) X 
30(10) 35(12) 25(7) X 
Required X  X  X  X 

Minimum transportation cost is 50 (9) + 20 (3) + 55 (11) + 30 (10) + 35 (12) + 25 (7)

=2010
Check for Non-degeneracy
The initial basic feasible solution has m + n – 1 i.e. 3 + 4 – 1 = 6 allocations in independent
positions. Hence optimality test is satisfied.

Calculation of ui and vj : - ui + vj = cij

ui
 (9)  (3) u1= -4

 (11) u2 = 1

 (10)  (12)  (7) u3 = 0

vj v1 = 10 v2 = 12 v3 = 13 v4 = 7

Calculation of cost differences for non-basic cells dij = cij – ( ui + vj )

cij ui + vj

6 1   6 8  

 5 2 8  13 14 8

  4    13 

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‫ﺳﺔ‬

dij = cij – ( ui + vj )

0 -7  

 -8 -12 0

  -9 

Optimaality test
dij < 0 i..e. d23 = -122 is most negative
So x23 is entering thhe basis

Constru
uction of looop and alloocation of unknown
u q
quantity Ө

min(50--Ө, 55-Ө, 25-Ө)

2 = 25 which
w givess Ө = 25. Therefore
T x34
3 is outgoin
ng as it beccomes
zero.

2
25(9) 45(3)
30(11) 2
25(2)
55(10) 35(12)

Minimuum transporrtation cost is 25 (9) + 45 (3) + 30

3 (11) + 255 (2) + 55 (10)
( + 35 (12) =
1710
II iterattion

Calculaation of ui and
a vj : - ui + vj = cij

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ui
 (9)  (3) u1= 8

 (11)  (2) u2 = 1

 (10)  (12) u3 = 0

vj v1 = 10 v2 = 12 v3 = 1 v4 = -5

Calculation of cost differences for non-basic cells dij = cij – ( ui + vj )

cij ui + vj

6 1   18 20  

 5  8  13  -4

  4 7   1 -5

dij = cij – ( ui + vj )

-12 -19  

 -8  12

  3 12

Optimality test
dij < 0 i.e. d12 = -19 is most negative
So x12 is entering the basis

Construction of loop and allocation of unknown quantity Ө

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‫ﺳﺔ‬

min(25--Ө, 30-Ө, 35-Ө) = 25 which

w givess Ө = 25. Therefore
T x13
1 is outgoin
ng as it beccomes
zero.

25(1) 45(3)
5(11) 5
50(2)
80(10) 10(12)

Minimuum transportation cost is

i 25 (1) + 45
4 (3) + 5 (11) + 50 (2)) + 80 (10) + 10 (12) =1235
=

III Iteration

Calculaation of ui and
a vj : - ui + vj = cij

ui
 (1)  (3) u1= -11

 (11)  (2)
( u2 = 1

 (10)  (12)) u3 = 0

vj v1 = 10 v2 = 12 v3 = 1 v4 = 14

Calculaation of cosst differences for non--basic cells dij = cij – ( ui + vj )

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‫ﺳﺔ‬

cij ui + vj

6  9  -1  -10 

 5  8  13  15

  4 7   1 14

dij = cij – ( ui + vj )

7  19 

 -8  -7

  3 -7

Optimaality test
dij < 0 i..e. d22 = -8 is
i most negative
So x22 is entering thhe basis

uction of looop and alloocation of unknown

Constru u q
quantity Ө

Ө, 10-Ө) = 5 which givves Ө = 5. Therefore

min(5-Ө T x221 is outgoin
ng as it becoomes zero.

25(1) 45(3)
5(5) 5
50(2)
85(10) 5(12)

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Minimum transportation cost is 25 (1) + 45 (3) + 5 (5) + 50 (2) + 85 (10) + 5 (12) = 1195

IV Iteration

Calculation of ui and vj : - ui + vj = cij

ui
 (1)  (3) u1= -11

 (5)  (2) u2 = -7

 (10)  (12) u3 = 0

vj v1 = 10 v2 = 12 v3 = 9 v4 = 14

Calculation of cost differences for non-basic cells dij = cij – ( ui + vj )

cij ui + vj

6  9  -1  -2 

11   8 3   7

  4 7   9 14

dij = cij – ( ui + vj )

7  11 

8   1

  -5 -7

Optimality test
dij < 0 i.e. d34 = -7 is most negative
So x34 is entering the basis
Construction of loop and allocation of unknown quantity Ө

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‫ﺳﺔ‬

min(5-Ө
Ө, 45-Ө) = 5 which givves Ө = 5. Therefore
T x32 is outgoin
ng as it becoomes zero.

30(1) 40(3)
5(5) 5
50(2)
85(10) 5(7))

Minimuum transportation cost is

i 30 (1) + 40
4 (3) + 5 (55) + 50 (2) + 85 (10) + 5 (7) = 11660

V Iteraation

Calculaation of ui and
a vj : - ui + vj = cij

ui
 (1)  (3) u1= -4

 (5)  (2)
( u2 = 0

 (10)  (7) u3 = 0

vj v1 = 10 v2 = 5 v3 = 2 v4 = 7

Calculaation of cosst differences for non--basic cells dij = cij – ( ui + vj )

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cij ui + vj

6  9  6  -2 

11   8 10   7

 12 4   5 2 

dij = cij – ( ui + vj )

0  11 

1   1

 7 2 

Since dij > 0, an optimal solution is obtained with minimal cost 1160. Further more d11 = 0
which indicates that alternative optimal solution also exists.

Exercise
I- Determine an initial basic feasible solution to the following transportation
problems using the five given methods.
1.

To Availability
2 11 10 3 7 4
From 1 4 7 2 1 8
3 9 4 8 12 9
Requirement 3 3 4 5 6

2.

D1 D2 D3 D4 Availability
S1 11 13 17 14 250
S2 16 18 14 10 300
S3 21 24 13 10 400
Requirement 200 225 275 250

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3.
I II III IV Supply
A 13 11 15 20 2000
From B 17 14 12 13 6000
C 18 18 15 12 7000
Demand 3000 3000 4000 5000

II- Determine the optimal solution of the above transportation problems.

III- Determine the optimal solution of the given transportation problem:

To Supply
2 3 11 7 6
1 0 6 1 1
From
5 8 15 10 10
Demand 7 5 3 2 17

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Unit 10
10.1 Introduction to CPM / PERT Techniques
10.2 Applications of CPM / PERT
10.3 Basic Steps in PERT / CPM
10.4 Frame work of PERT/CPM
10.5 Network Diagram Representation
10.6 Rules for Drawing Network Diagrams
10.7 Common Errors in Drawing Networks
10.8 Advantages and Disadvantages
10.9 Critical Path in Network Analysis

10.1 Introduction to CPM / PERT Techniques

CPM/PERT or Network Analysis as the technique is sometimes called, developed along

two parallel streams, one industrial and the other military.

CPM (Critical Path Method) was the discovery of M.R.Walker of E.I.Du Pont de
Nemours & Co. and J.E.Kelly of Remington Rand, circa 1957. The computation was
designed for the UNIVAC-I computer. The first test was made in 1958, when CPM was
applied to the construction of a new chemical plant. In March 1959, the method was
applied to maintenance shut-down at the Du Pont works in Louisville, Kentucky.
Unproductive time was reduced from 125 to 93 hours.

PERT (Project Evaluation and Review Technique) was devised in 1958 for the
POLARIS missile program by the Program Evaluation Branch of the Special Projects
office of the U.S.Navy, helped by the Lockheed Missile Systems division and the
Consultant firm of Booz-Allen & Hamilton. The calculations were so arranged so that they
could be carried out on the IBM Naval Ordinance Research Computer (NORC) at
Dahlgren, Virginia.

The methods are essentially network-oriented techniques using the same principle. PERT
and CPM are basically time-oriented methods in the sense that they both lead to
determination of a time schedule for the project. The significant difference between two
approaches is that the time estimates for the different activities in CPM were assumed to be

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deterministic while in PERT these are described probabilistically. These techniques are
referred as project scheduling techniques.

In CPM activities are shown as a network of precedence relationships using activity-on-

node network construction

– Single estimate of activity time

– Deterministic activity times

USED IN: Production management - for the jobs of repetitive in nature where the
activity time estimates can be predicted with considerable certainty due to the existence of
past experience.

In PERT activities are shown as a network of precedence relationships using activity-on-

arrow network construction

– Multiple time estimates

– Probabilistic activity times

USED IN: Project management - for non-repetitive jobs (research and development
work), where the time and cost estimates tend to be quite uncertain. This technique uses
probabilistic time estimates.

Benefits of PERT/CPM

 Useful at many stages of project management

 Mathematically simple

 Give critical path and slack time

 Provide project documentation

 Useful in monitoring costs

Limitations of PERT/CPM

 Clearly defined, independent and stable activities

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 Specified precedence relationships

 Over emphasis on critical paths

10.2 Applications of CPM / PERT

These methods have been applied to a wide variety of problems in industries and have
found acceptance even in government organizations. These include
 Construction of a dam or a canal system in a region

 Construction of a building or highway

 Maintenance or overhaul of airplanes or oil refinery

 Space flight

 Cost control of a project using PERT / COST

 Designing a prototype of a machine

 Development of supersonic planes

10.3 Basic Steps in PERT / CPM

Project scheduling by PERT / CPM consists of four main steps

1. Planning

 The planning phase is started by splitting the total project in to small projects.
These smaller projects in turn are divided into activities and are analyzed by the
department or section.

 The relationship of each activity with respect to other activities are defined and
established and the corresponding responsibilities and the authority are also stated.

 Thus the possibility of overlooking any task necessary for the completion of the
project is reduced substantially.

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2. Scheduling

 The ultimate objective of the scheduling phase is to prepare a time chart showing
the start and finish times for each activity as well as its relationship to other
activities of the project.

 Moreover the schedule must pinpoint the critical path activities which require
special attention if the project is to be completed in time.

 For non-critical activities, the schedule must show the amount of slack or float
times which can be used advantageously when such activities are delayed or when
limited resources are to be utilized effectively.

3. Allocation of resources

 Allocation of resources is performed to achieve the desired objective. A resource is

a physical variable such as labour, finance, equipment and space which will impose
a limitation on time for the project.

 When resources are limited and conflicting, demands are made for the same type of
resources a systematic method for allocation of resources become essential.

 Resource allocation usually incurs a compromise and the choice of this

compromise depends on the judgment of managers.

4. Controlling

 The final phase in project management is controlling. Critical path methods

facilitate the application of the principle of management by expectation to identify
areas that are critical to the completion of the project.

 By having progress reports from time to time and updating the network
continuously, a better financial as well as technical control over the project is
exercised.

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 Arrow diagrams and time charts are used for making periodic progress reports. If
required, a new course of action is determined for the remaining portion of the
project.

10.4 The Framework for PERT and CPM

Essentially, there are six steps which are common to both the techniques. The procedure is
listed below:

I. Define the Project and all of its significant activities or tasks. The Project (made up

of several tasks) should have only a single start activity and a single finish activity.

II. Develop the relationships among the activities. Decide which activities must
precede and which must follow others.

III. Draw the "Network" connecting all the activities. Each Activity should have unique
event numbers. Dummy arrows are used where required to avoid giving the same
numbering to two activities.

IV. Assign time and/or cost estimates to each activity

V. Compute the longest time path through the network. This is called the critical path.

VI. Use the Network to help plan, schedule, and monitor and control the project.

The Key Concept used by CPM/PERT is that a small set of activities, which make up the
longest path through the activity network control the entire project. If these "critical"
activities could be identified and assigned to responsible persons, management resources
could be optimally used by concentrating on the few activities which determine the fate of
the entire project.

Non-critical activities can be replanned, rescheduled and resources for them can be
reallocated flexibly, without affecting the whole project.

Five useful questions to ask when preparing an activity network are:

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 Is this a Start Activity?

 Is this a Finish Activity?
 What Activity Precedes this?
 What Activity Follows this?
 What Activity is Concurrent with this?

10.5 Network Diagram Representation

In a network representation of a project certain definitions are used

1. Activity
Any individual operation which utilizes resources and has an end and a beginning is called
activity. An arrow is commonly used to represent an activity with its head indicating the
direction of progress in the project. These are classified into four categories
1. Predecessor activity – Activities that must be completed immediately prior to the
start of another activity are called predecessor activities.

2. Successor activity – Activities that cannot be started until one or more of other
activities are completed but immediately succeed them are called successor
activities.

3. Concurrent activity – Activities which can be accomplished concurrently are

known as concurrent activities. It may be noted that an activity can be a
predecessor or a successor to an event or it may be concurrent with one or more of
other activities.

4. Dummy activity – An activity which does not consume any kind of resource but
merely depicts the technological dependence is called a dummy activity.

The dummy activity is inserted in the network to clarify the activity pattern in the
following two situations
 To make activities with common starting and finishing points distinguishable

 To identify and maintain the proper precedence relationship between activities that
is not connected by events.

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ept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬
‫ﺳﺔ‬

For exaample, consiider a situattion where A and B arre concurren

nt activitiess. C is depenndent
on A annd D is deppendent on A and B both.
b Such a situation can be hanndled by ussing a
dummy activity as shown in thhe figure.

2. Even
nt
An evennt representts a point in
i time signnifying the completion
n of some activities
a annd the
beginninng of new ones.
o This is
i usually represented
r by a circle in a netwoork which iss also
called a node or connector.
The eveents are classsified in to three categ
gories
1. Merge
M eveent – Whenn more thann one activiity comes and
a joins an
a event succh an
e
event is kno
own as mergge event.

2. Burst
B even
nt – When more
m than onne activity leaves
l an evvent such ann event is knnown
a burst eveent.
as

3. Merge
M and
d Burst eveent – An acctivity may be merge and
a burst evvent at the same
t
time as withh respect too some activ
vities it cann be a mergge event andd with respeect to
some other activities itt may be a burst
b event.

uencing
3. Sequ
The firrst prerequiisite in thee developm
ment of nettwork is too maintain the preceddence
relationnships. In order
o to maake a netw
work, the foollowing po
oints should be takenn into
considerations
 W job orr jobs preceede it?
What

 W job orr jobs couldd run concurrrently?

What

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‫ﺳﺔ‬

 W job orr jobs follow

What w it?

 W controols the startt and finish of a job?

What

Since alll further caalculations are based on

o the netw
work, it is necessary
n th
hat a netwoork be
drawn with
w full carre.
10.6 R
Rules for Drawing
D N
Network Diagram
D

Rule 1
Each acctivity is reppresented byy one and onnly one arroow in the neetwork

Rule 2
No two activities can be identiified by the same end events
e

Rule 3
In order to ensuree the correcct precedennce relationnship in thee arrow diaagram, folloowing
questionns must be checked
c whhenever any
y activity is added
a to thee network
 W activiity must be completed immediatelyy before thiis activity can start?
What

 W activiities must foollow this activity?

What

 W activiities must occcur simultaaneously with this activ

What vity?

In case of large nettwork, it is essential

e thaat certain goood habits be
b practicedd to draw ann easy
w network
to follow
 T to avoidd arrows whhich cross each
Try e other

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‫ﺳﺔ‬

 U straight arrows
Use

 D not attem
Do mpt to repreesent duratiion of activiity by its arrrow length

 U arrowss from left to

Use t right. Avvoid mixingg two direcctions, vertical and stannding
a
arrows mayy be used if necessary.

 U dummiies freely inn rough drafft but final network

Use n shoould not havve any redunndant
d
dummies.

 T networrk has only one entry point

The p called start event and one poiint of emerggence
c
called the end event.

10.7 C
Common Errors
E in Drawing Network
ks

The threee types of errors are most

m commoonly observeed in drawinng network
k diagrams

1. Danggling
To discconnect an activity
a beffore the com
mpletion off all activitiies in a netw
work diagraam is
known as danglingg. As shownn in the figuure activitiees (5 – 10) and (6 – 7)) are not thhe last
activitiees in the nettwork. So thhe diagram is
i wrong annd indicates the error off dangling

ping or Cyccling
2. Loop
Loopingg error is also
a known as cycling error in a network
n diaagram. Draawing an enndless
i known as error of loooping as shoown in the following
loop in a network is f fiigure.

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‫ﺳﺔ‬

undancy
3. Redu
Unnecessarily inseerting the dummy
d actiivity in nettwork logicc is known
n as the errror of
redundaancy as show
wn in the foollowing diaagram

10.8 A
Advantagees and Dissadvantag
ges

PERT/C
CPM has thee followingg advantagess

 A PERT/CP PM chart exxplicitly deffines and makes

m visiblee dependenncies (preceddence
r
relationship
ps) betweenn the elemennts,

 P
PERT/CPM
M facilitates identificatiion of the crritical path and
a makes this
t visible,,

 PERT/CPM
P M facilitatess identificattion of earlly start, latte start, and
d slack for each
a
activity,

 PERT/CPM
P M provides for poten ntially reduuced projecct duration
n due to better
b
u
understandi mproved ovverlapping of activities and
ing of depeendencies leeading to im
t
tasks wheree feasible.

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PERT/CPM has the following disadvantages:

 There can be potentially hundreds or thousands of activities and individual

dependency relationships,

 The network charts tend to be large and unwieldy requiring several pages to print
and requiring special size paper,

 The lack of a timeframe on most PERT/CPM charts makes it harder to show status
although colours can help (e.g., specific colour for completed nodes),

 When the PERT/CPM charts become unwieldy, they are no longer used to manage
the project.

10.9 Critical Path in Network Analysis

Basic Scheduling Computations

The notations used are

(i, j) = Activity with tail event i and head event j
Ei = Earliest occurrence time of event i
Lj = Latest allowable occurrence time of event j
Dij = Estimated completion time of activity (i, j)
(Es)ij = Earliest starting time of activity (i, j)
(Ef)ij = Earliest finishing time of activity (i, j)
(Ls)ij = Latest starting time of activity (i, j)
(Lf)ij = Latest finishing time of activity (i, j)

The procedure is as follows

1. Determination of Earliest time (Ej): Forward Pass computation

 Step 1

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The computation begins from the start node and move towards the end node. For easiness,
the forward pass computation starts by assuming the earliest occurrence time of zero for
the initial project event.

 Step 2

i. Earliest starting time of activity (i, j) is the earliest event time of the tail end
event i.e. (Es)ij = Ei

ii. Earliest finish time of activity (i, j) is the earliest starting time + the activity
time i.e. (Ef)ij = (Es)ij + Dij or (Ef)ij = Ei + Dij

iii. Earliest event time for event j is the maximum of the earliest finish times of
all activities ending in to that event i.e. Ej = max [(Ef)ij for all immediate
predecessor of (i, j)] or Ej =max [Ei + Dij]

2. Backward Pass computation (for latest allowable time)

 Step 1

For ending event assume E = L. Remember that all E’s have been computed by forward
pass computations.

 Step 2

Latest finish time for activity (i, j) is equal to the latest event time of event j i.e. (Lf)ij = Lj

 Step 3

Latest starting time of activity (i, j) = the latest completion time of (i, j) – the activity time
or (Ls)ij =(Lf)ij - Dij or (Ls)ij = Lj - Dij

 Step 4

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Latest event time for event ‘i’ is the minimum of the latest start time of all activities
originating from that event i.e. Li = min [(Ls)ij for all immediate successor of (i, j)] = min
[(Lf)ij - Dij] = min [Lj - Dij]

3. Determination of floats and slack times

There are three kinds of floats

 Total float – The amount of time by which the completion of an activity could be
delayed beyond the earliest expected completion time without affecting the overall
project duration time.

Mathematically
(Tf)ij = (Latest start – Earliest start) for activity ( i – j)
(Tf)ij = (Ls)ij - (Es)ij or (Tf)ij = (Lj - Dij) - Ei

 Free float – The time by which the completion of an activity can be delayed
beyond the earliest finish time without affecting the earliest start of a subsequent
activity.

Mathematically
(Ff)ij = (Earliest time for event j – Earliest time for event i) – Activity time for ( i, j)
(Ff)ij = (Ej - Ei) - Dij

 Independent float – The amount of time by which the start of an activity can be
delayed without effecting the earliest start time of any immediately following
activities, assuming that the preceding activity has finished at its latest finish time.

Mathematically
(If)ij = (Ej - Li) - Dij
The negative independent float is always taken as zero.

 Event slack - It is defined as the difference between the latest event and earliest
event times.

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Mathematically
Head event slack = Lj – Ej, Tail event slack = Li - Ei

4. Determination of critical path

 Critical event – The events with zero slack times are called critical events. In other
words the event i is said to be critical if Ei = Li

 Critical activity – The activities with zero total float are known as critical
activities. In other words an activity is said to be critical if a delay in its start will
cause a further delay in the completion date of the entire project.

 Critical path – The sequence of critical activities in a network is called critical

path. The critical path is the longest path in the network from the starting event to
ending event and defines the minimum time required to complete the project.

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Exercise
1. What is PERT and CPM?

2. What are the advantages of using PERT/CPM?

3. Mention the applications of PERT/CPM

4. Explain the following terms

a. Earliest time

b. Latest time

c. Total activity slack

d. Event slack

e. Critical path

5. Explain the CPM in network analysis.

6. What are the rules for drawing network diagram? Also mention the common errors
that occur in drawing networks.

7. What is the difference between PERT and CPM/

8. What are the uses of PERT and CPM?

9. Explain the basic steps in PERT/CPM techniques.

10. Write the framework of PERT/CPM.

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‫ﺳﺔ‬

Unit 11
11.1 Woorked Examp
mples on CPM
PM
11.2 PE
ERT
11.3 Woorked Examp
mples

11.1 W
Worked Exxamples on
o CPM

Example 1
Determiine the earlly start andd late start in
i respect of
o all node points and
d identify crritical
path forr the followiing networkk.

Solution
n
Calculaation of E an
nd L for eacch node is sh
hown in thee network

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‫ﺳﺔ‬

Noormal Earliest Tiime Latest Tiime

Float Tim
me
Activityy(i, j) T
Time S
Start F
Finish Start Finish
(Li - Dij ) - Ei
(D
Dij) ( i)
(E (Ei + Dij ) (L
Li - Dij ) (Li)
(1, 22) 10 0 10 0 10 0
(1, 33) 8 0 8 1 9 1
(1, 44) 9 0 9 1 10 1
(2, 55) 8 10 18 10 18 0
(4, 66) 7 9 16 10 17 1
(3, 77) 16 8 24 9 25 1
(5, 77) 7 18 25 18 25 0
(6, 77) 7 16 23 18 25 2
(5, 88) 6 18 24 18 24 0
(6, 99) 5 16 21 17 22 1
(7, 100) 12 25 37 25 37 0
(8, 100) 13 24 37 24 37 0
(9, 100) 15 21 36 22 37 1
Network
k Analysis Table

From thhe table, the critical noddes are (1, 2),

2 (2, 5), (55, 7), (5, 8), (7, 10) and (8, 10)

From thhe table, there are two ppossible crittical paths

i. 1 → 2 → 5 → 8 → 10

ii. 1 → 2 → 5 → 7 → 10

Example 2
Find thee critical path and calcuulate the flooat time for the followin
ng networkk

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‫ﺳﺔ‬

Solution
n

nd the latestt time are obbtained beloow

The earliest time an

Noormal Earliest Time Latest Time

T
Float Tiime
Activityy(i, j) T
Time S
Start F
Finish Start Finish
(Li - Dij ) - Ei
( ij)
(D ( i)
(E (Ei + Dij ) ( i - Dij )
(L (Li)
(1, 2)
2 2 0 2 5 7 5
(1, 3)
3 2 0 2 0 2 0
(1, 4)
4 1 0 1 6 7 6
(2, 6)
6 4 2 6 7 11 5
(3, 7)
7 5 2 7 3 8 1
(3, 5)
5 8 2 10 2 10 0
(4, 5)
5 3 1 4 7 10 6
(5, 9)
9 5 10 15 10 15 0
(6, 8)
8 1 6 7 11 12 5
(7, 8)
8 4 7 11 8 12 1
(8, 9)
9 3 11 14 12 15 1

From thhe above tab

ble, the critiical nodes are the activiities (1, 3), (3, 5) and (5,
( 9)

The crittical path is 1 → 3 → 5 → 9

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11.2 Project Evaluation and Review Technique (PERT)

The main objective in the analysis through PERT is to find out the completion for a
particular event within specified date. The PERT approach takes into account the
uncertainties. The three time values are associated with each activity

1. Optimistic time – It is the shortest possible time in which the activity can be
finished. It assumes that every thing goes very well. This is denoted by t0.

2. Most likely time – It is the estimate of the normal time the activity would take.
This assumes normal delays. If a graph is plotted in the time of completion and the
frequency of completion in that time period, then most likely time will represent the
highest frequency of occurrence. This is denoted by tm.

3. Pessimistic time – It represents the longest time the activity could take if
everything goes wrong. As in optimistic estimate, this value may be such that only
one in hundred or one in twenty will take time longer than this value. This is
denoted by tp.

In PERT calculation, all values are used to obtain the percent expected value.

1. Expected time – It is the average time an activity will take if it were to be repeated
on large number of times and is based on the assumption that the activity time
follows Beta distribution, this is given by

te = ( t0 + 4 tm + tp ) / 6

2. The variance for the activity is given by

σ2 = [(tp – to) / 6] 2

11.3 Worked Examples

Example 1
For the project

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‫ﺳﺔ‬

Task: A B C D E F G H I J K

Least tim
me: 4 5 8 2 4 6 8 5 3 5 6

Greatest time: 8 10 12 7 10 155 16 9 7 11 133

Most likkely time: 5 7 11 3 7 9 12 6 5 8 9

Find thee earliest annd latest exppected time to each eveent and also critical path
h in the
networkk.

Solution
n

Grreatest time Mostt likely Expected time

t
Taask Least timee(t0)
(tp) timee (tm) (to + tp + 4t
4 m)/6
A 4 8 5 5.33
B 5 10 7 7.17
C 8 12 11
1 10.67
D 2 7 3 3.5
E 4 10 7 7
F 6 15 9 9.5
G 8 16 12
1 12
H 5 9 6 6.33
I 3 7 5 5
J 5 11 8 8
K 6 13 9 9.17

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‫ﺳﺔ‬

Expeected Startt F
Finish
Taskk Totall float
timee (te) E
Earliest Latest Earliest Latesst
A 5.3
33 0 0 5.33 5.33 0
B 7.17 0 8.83 7.17 16 8.883
C 10..67 5.33 5.33 16 16 0
D 3..5 0 10 3.5 13.55 10
E 7 16 16 23 23 0
F 9..5 3.5 13.5 13 23 10
G 12 3.5 18.5 15.5 30.55 15
H 6.3
33 23 23 29.33 29.333 0
I 5 23 25.5 28 30.55 2..5
J 8 28 30.5 36 38.55 2..5
K 9.17 2
29.33 29.33 31.5 38.55 0

work is
The netw

E→H→K
The crittical path is A →C →E

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Industrial Engineering Dr.Basil Aljorani Mech. Eng. Dept. ‫اﻟﻬﻧدﺳﺔ اﻟﺻﻧﺎﻋﻳﺔ‬

Example 2
A project has the following characteristics

Most optimistic time Most pessimistic time Most likely time

Activity
(a) (b) (m)
(1 – 2) 1 5 1.5
(2 – 3) 1 3 2
(2 – 4) 1 5 3
(3 – 5) 3 5 4
(4 – 5) 2 4 3
(4 – 6) 3 7 5
(5 – 7) 4 6 5
(6 – 7) 6 8 7
(7 – 8) 2 6 4
(7 – 9) 5 8 6
(8 – 10) 1 3 2
(9 – 10) 3 7 5
Construct a PERT network. Find the critical path and variance for each event.

Solution

te v
Activity (a) (b) (m) (4m)
(a + b + 4m)/6 [(b – a) / 6]2
(1 – 2) 1 5 1.5 6 2 4/9
(2 – 3) 1 3 2 8 2 1/9
(2 – 4) 1 5 3 12 3 4/9
(3 – 5) 3 5 4 16 4 1/9
(4 – 5) 2 4 3 12 3 1/9
(4 – 6) 3 7 5 20 5 4/9
(5 – 7) 4 6 5 20 5 1/9
(6 – 7) 6 8 7 28 7 1/9
(7 – 8) 2 6 4 16 4 4/9
(7 – 9) 5 8 6 24 6.17 1/4
(8 – 10) 1 3 2 8 2 1/9
(9 – 10) 3 7 5 20 5 4/9

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‫ﺳﺔ‬

The netw
work is connstructed as shown belo
ow

The crittical path = 1 → 2 → 4 → 6 → 7 →9

→ →10

Example 3

Calculaate the varian

nce and thee expected tiime for eachh activity

Solution
n

te v
Activvity ( o)
(t (ttm) (tp)
(to + tp + 4tm)/6 [(tp – to) / 6]2
(1 – 2) 3 6 100 6.2 1.36
(1 – 3) 6 7 122 7.7 1.00
(1 – 4) 7 9 122 9.2 0.69
(2 – 3) 0 0 0 0.0 0.00
(2 – 5) 8 1
12 177 12.2 2.25
(3 – 6) 10 1
12 155 12.2 0.69

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(4 – 7) 8 13 19 13.2 3.36
(5 – 8) 12 14 15 13.9 0.25
(6 – 7) 8 9 10 9.0 0.11
(6 – 9) 13 16 19 16.0 1.00
(8 – 9) 4 7 10 7.0 1.00
(7 – 10) 10 13 17 13.2 1.36
(9 – 11) 6 8 12 8.4 1.00
(10 – 11) 10 12 14 12.0 0.66

Exercise

1. What is PERT?

2. For the following data, draw network. Find the critical path, slack time after
calculating the earliest expected time and the latest allowable time

Activity Duration Activity Duration

(1 – 2) 5 (5 – 9) 3
(1 – 3) 8 (6 – 10) 5
(2 – 4) 6 (7 – 10) 4
(2 – 5) 4 (8 – 11) 9
(2 – 6) 4 (9 – 12) 2
(3– 7) 5 (10 – 12) 4
(3 – 8) 3 (11 – 13) 1
(4 – 9) 1 (12 – 13) 7

[Ans. Critical path: 1 → 3 → 7 → 10 → 12 →13]

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3. A project schedule has the following characteristics

Activity Most optimistic time Most likely time Most pessimistic time

(1 – 2) 1 2 3
(2 – 3) 1 2 3
(2 – 4) 1 3 5
(3 – 5) 3 4 5
(4 – 5) 2 5 4
(4 – 6) 3 5 7
(5 – 7) 4 5 6
(6 – 7) 6 7 8
(7 – 8) 2 4 6
(7 – 9) 4 6 8
(8 – 10) 1 2 3
(9 – 10) 3 5 7

Construct a PERT network and find out

a. The earliest possible time

b. Latest allowable time

c. Slack values

d. Critical path

4. Explain the following terms

a. optimistic time

b. Most likely time

c. Pessimistic time

d. Expected time

e. Variance

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Basil Aljoraani Mecch. Eng. Dep
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‫اﻟﻬﻧدﺳﺔ‬

5. Calculate
C thhe variance and the exppected time for each acctivity

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