# Simplex Method

Definition: The Simplex Method or Simplex Algorithm is used for calculating the optimal solution to the linear programming problem. In other words, the simplex algorithm is an iterative procedure carried systematically to determine the optimal solution from the set of feasible solutions.

Firstly, to apply the simplex method, appropriate variables are introduced in the linear programming problem, and the primary or the decision variables are equated to zero. The iterative process begins by assigning values to these defined variables. The value of decision variables is taken as zero since the evaluation in terms of the graphical approach begins with the origin. Therefore, x1 and x2 is equal to zero.

The decision maker will enter appropriate values of the variables in the problem and find out the variable value that contributes maximum to the objective function and removes those values which give undesirable results. Thus, the value of the objective function gets improved through this method. This procedure of substitution of variable value continues until any further improvement in the value of the objective function is possible.

Following two conditions need to be met before applying the simplex method:

1. The right-hand side of each constraint inequality should be non-negative. In case, any linear programming problem has a negative resource value, then it should be converted into positive value by multiplying both the sides of constraint inequality by “-1”.
2. The decision variables in the linear programming problem should be non-negative.

Thus, the simplex algorithm is efficient since it considers few feasible solutions, provided by the corner points, to determine the optimal solution to the linear programming problem.

## Related pages

definition of straddledefinition for aptitudedefinition of microfinance institutionsdefine deontology theoryimparted meaning in hindifiedlersreceivables turnover definitiondettol definitiondefine autocratsjoseph schumpeter entrepreneurshipwhat is an intrapreneurdefine nefte retailing wikipediadescribe laissez-fairedefinition of graphic scaledefine differentialsepfo fundsales turnover ratio definitionthe trait theorydefinition of consolidated fundwhats a cardinalexample of fmcg productswhat is the meaning of snowballdefine contingency leadershipmeaning of staffing in hindiblake and mouton leadership theoryinformal formal communicationexplain scatter diagramwhat is cheque truncation systemmeaning of laissez faire leadershippiecework meaningfayol principalvroom expectancy modelwhat is meant by secondary researchrensis likert leadership styleshindi meaning of contingencymnc company meansintrapreneurearbitrage in forexkinds of market structuresmnc company definitiondefinition of inductdividend capitalization modelethnocentric meaningexamples of promotion mixdefine authorised capitalasset test ratio formulamonopolistic competition definition economicswhat is ethnocentric orientationfactors influencing consumer behaviour pdfcheque lockboxwhat is the definition of hrmdefine truncatingconcept of marketing segmentationtheory x and theory y motivationdefine cash reserve ratiowhat is snowball sampling in researchformula of stock turnover ratioclassical conditioning learning theoryseven elements of communication processdefinition ergcardial definitiondefinition of kanban systemmeaning of divestiturespremature evaluation meaningvestibule training methodoligopoly market examplesdefine recruitment and selection in hrmmarginal rate of substitution formulaoligopoly meaning in hindihybrid debt instrumentpromotional pricing strategy definitionjob enlargement advantagesblack scholes model formuladifference between democratic and autocratic leadership style7 c's of business communication with examplesfather of bureaucracyclassical management theoristssample of cash budgetwhat is deontology theory