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Words: | Submitted: Fri Oct 15 2004
... how to produce a blend out of specified commodities or constituents whose characteristics and costs are given. Therefore the manager's problem is to design a blend that minimizes cost per pound and also satisfies the product specification and product demands. Blending problems take place most regularly in the food industry, gasoline industry and chemical industry where their final products are concerned with blends. A product-mix problem exists whenever the manager is to determine an optimal production schedule or product-mix (which specify which product to produce and in what quantities). A product-mix problem can be solved by linear programming if the objective of the manager is determined by the production levels that will allow the company to meet the product demand requirements, given limitations on labor capacity, machine capacity and storage space, while minimizing production cost. The application of linear programming for production scheduling problems is beneficial because those problems reappear ...
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