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# Kingfisher airlines

## on Aug 30, 2010

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## Kingfisher airlinesPresentation Transcript

• NehaNimbekar
R750209011
MBA(ISM)
Linear Programming
• Kingfisher Airlines
Earlier Kingfisher Airlines was a small company that uses small planes for short flights.
The company was considering to expand its operations.
Kingfisher has two choices:
Buy more small planes (SP) and continue with short flights
Buy only large planes (LP) and only expand into larger markets with longer flights
Expand by purchasing some small and some large planes
• Kingfisher Airlines Cont.
Question: How many large and small planes should be purchased to maximize total net annual profit?
• Kingfisher Airlines
• Mathematical Model for Kingfisher
• Graphical Method for Linear Programming
• Divisibility Assumption of LP
This assumption says that the decision variables in a LP model are allowed to have any values that satisfy the functional and non-negativity constraints.
This implies that the decision variables are not restricted to integer values.
Note: Implicitly in Kingfisher’s problem, it cannot purchase a fraction of a plane which implies this assumption is not met.
• New Mathematical Model for Kingfisher
• The Graphical Solution Method For Integer Programming
Step 1: Graph the feasible region
Step 2: Determine the slope of the objective function line
Step 3: Moving the objective function line through this feasible region in the direction of improving values of the objective function.
Step 4: Stop at the last instant the the objective function line passes through an integer point that lies within this feasible region.
This integer point is the optimal solution.
• Graphical Method for Integer Programming
• Thank You