The Sellmore Company Problem

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Họ và tên: Nguyễn Minh Nguyên

MSSV: 31211020572

The Sellmore Company Problem


Formulation of the Problem in Linear Programming Terms
We need to identify the activities and requirements of this transportation problem to
formulate it as a linear programming problem. In this case, two kinds of activities have
been mentioned – the assignment and the cost of hiring temporary employees. However,
we know the specific amount of assignment so we need to make decisions about the cost
of hiring employees. Therefore, we need to focus on the cost for the linear programming
formulation.
All the functional constraints of the Sellmore Co. problem are fixed-requirement
constraints which require each person to perform exactly one task and require each task
to be performed by exactly one person. Thus, the Sellmore Co. is a fixed-requirements
problem. This is a characteristic of all pure assignment problems.
The changing cells in the spreadsheet model for any pure assignment problem gives a
value of 1 when the corresponding assignment is being made, and a value of 0 otherwise.
After choosing the Solver option to make the changing cells nonnegative, this then would
force each of the changing cells to be 0 or 1. However, it turned out to be unnecessary to
add the constraints that require the changing cells to have values of 0 or 1 in a
spreadsheet formulation of the Sellmore Co. problem as an assignment problem,
including the objective cell Total Cost and the other output cells Cost, Total
Assignments, and Total Assigned, as well as the specifications needed to set up the
model. The values of 1 in the changing cells Assignment show the optimal plan obtained
by Solver for assigning the people to the tasks.

Fixed requirements:
Requirement 1: Ann must do exactly 1 task
Requirement 2: Ian must do exactly 1 task
Requirement 3: Joan must do exactly 1 task
Requirement 4: Sean must do exactly 1 task
Requirement 5: Word Processing is to be performed by exactly one assignee
Requirement 6: Graphics is to be performed by exactly one assignee
Requirement 7: Packets is to be performed by exactly one assignee
Requirement 8: Registrations is to be performed by exactly one assignee
We have already had the required time per task (hours) and the hourly wage by each
temporary employee so we need to calculate the wage we have to pay each employee for
each task
Cost = Hourly wage * Required time per task

The objective is to minimize the cost pay the employees


Minimize cost = Total cost for the temporary employees
Total cost = Sumproduct(Cost, Assignment)

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