MGMT 101 Study Guide - Final Guide: Integer Programming, Linear Programming, Influence Diagram
Document Summary
Week 6 (integer and binary linear programs; nonlinear programs) Integer linear programing (# of building to be acquired) Rounding solution of a general linear program to the nearest integer is not always appropriate because rounding can result in non-optimal solution violate one or more constraints. Lp relaxation: linear program w/o integer constraints. Provide upper or lower bound depending on maximize/minimize. Binary programming (investment, whether or not build new plants in distribution problem, minimize # of principal places of business to be established, design a new pizza to max # of new customers) Constrain the decision variables even further by requiring them to be binary (0 or 1) Offer flexibility to model a variety of situations. Multiple choice (one but only 1 can be chosen) Mutually exclusivity (not more than one can be chosen) K out of n (choose exactly or at most k out of n decision variables) Conditional constraint (only do d1 if you do d2)
