Application of LPP to identify Optimal Production Mix in “Ready to Eat” Snacks Factory

This case is the practical implication of widely known LPP technique to produce optimum product mix for maximum profit. It analyzes the various process various time for different products, manufactured in the RTE snacks (namkeen) factory in Greater Noida, India namely Bikanervala foods Pvt. Ltd. The research is about to know – how much of a specific product should be produced in a given production capacity to get maximum profits.

Simulation software provided by “LINDO” is used to analyze the formulated problem and give the optimal solution for maximum profit in the organization. The problem formulation were subjected to various input conditions in namkeen manufacturing process including peeling, boiling, dough making, mixing and frying to produce four basic items namely Natkhat Nimbu, Punjabi punch, Aloo Bhujia and Crunchy Munchy with the reference variable as A, B, C and D respectively. The study and simulation identified that a production mix of 6.1% of Natkhat Nimbu, 2.5% of Punjabi punch, 79.1% of Aloo Bhujia and 12.2% of Crunch Munch is to be produced for optimum profit of INR 141128. The solution of the formulated problem suggested that we should produce 17 batches of Natkhat Nimbu, 7 batches of Punjabi punch, 220 batches of Aloo Bhujia and 34 batches of Crunchy Munchy for optimum process production to give the optimum profits.