International Science Index


10008915

Application of De Novo Programming Approach for Optimizing the Business Process

Abstract:The linear programming model is sometimes difficult to apply in real business situations due to its assumption of proportionality. This paper shows an example of how to use De Novo programming approach instead of linear programming. In the De Novo programming, resources are not fixed like in linear programming but resource quantities depend only on available budget. Budget is a new, important element of the De Novo approach. Two different production situations are presented: increasing costs and quantity discounts of raw materials. The focus of this paper is on advantages of the De Novo approach in the optimization of production plan for production company which produces souvenirs made from famous stone from the island of Brac, one of the greatest islands from Croatia.
References:
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[3] Z. Babić, T. Perić, B. Marasović “Production Planning in the Bakery Via De Novo Programming Approach”, Proceedings of the 14th International Symposium on Operations Research, SOR '17, Bled, Slovenia, 2017, pp. 481-486
[4] Z. Babić, I. Pavić (1992) De Novo Programing in MCDM. In: Gritzmann P., Hettich R., Horst R., Sachs E. (eds), Operations Research ’91. Physica-Verlag, pp 579-582.
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[6] S. Chakraborty, D. Bhattacharya. “Optimal System Design under Multi-Objective Decision Making Using De Novo Concept: A New Approach” International Journal of Computer Application, 2013, 63(12) pp. 20-27.