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## Goal Programming: Example 1 on Page 191 Show HIM LIP HIW Cost/min

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**Goal Programming: Example 1 on Page 191**Show HIM LIP HIW Cost/min Football 7 M 10 M 5 M $100,000 Soap Opera 3 M 5 M 4 M $60,000 min min min max 40 M 60 M 35 M $600,000 O.F. S.t. HIM LIP HIW Budget No feasible solution IE 416, Chap 4, August 99**Deviational Variables**= amount exceeded ith goal = amount under ith goal Penalty cost: based on the order and magnitude of importance. O.F. S.t. HIM LIP HIW Budget All Variables are nonnegative IE 416, Chap 4, August 99**Preemptive Goal Programming**Order of importance is known: P1>>P2>>P3 O.F. S.t. HIM LIP HIW Budget All Variables are nonnegative IE 416, Chap 4, August 99**Suncoast Office, Summary Problem**a Goal Programming Problem Number of Contact Sales no. / contact hr / cust. $ / cust. mon. Customer Previous 200 2 250 X1 New 120 3 125 X2 * 4 contact agent * max 40 hr/ mon. overtime *at least * max 30 hr/ mon. under $70,000/ mon. utilization From: An Introduction to Management Science By: Anderson, Sweeney, Williams IE 416, Chap 4, Sept. 2009**Suncoast Office, Formulation, a Goal Programming Problem**S. T: O.F: Min Min Min IE 416, Chap 4, Sept 2009**Suncoast Office, Sensitivity Analysis**a Goal Programming Problem Priorities Optimal Solution Second Deviation Highest Highest Lowest X1 X2 Z1 Z2 Z3 S1+, S2- S3- S4-, S5- 250 60 0 0 60 S3- S1+, S2- S4-, S5- 250 60 0 0 60 S4-, S5- S1+, S2- S3- 200 120 0 80 5000 Based on solution on “Class Notes & Video” web page. IE 416, Chap 4, May ‘99**Goal Programming**Available Formulation of Problem . InformationGoal as. Coefficient of O.F. mpi goals &constraint zero no O.F. mpi goals &modified const. penalty penalty with deviation var. mpi goals &multi O.F. P1>>P2 ... order(ordered) IE 416, Chap 14:1, July 98**Goal Programming**Assume to know relative importance of goals Have an additive linear cost function Use LP Do not know precisely the relative importance of goals Have a rank order of goals Use preemptive goal programming (goal programming simplex) IE 416, Chap 14:2, July 98