Initializing help system before first use

Minimum activity level

Continuous production rate make that may be 0 (the plant is not operating) or between allowed production limits MAKEMIN and MAKEMAX

  • Introduce a binary variable ifmake to mean

    ifmake : 0 if plant is shut
    1 plant is open

    MIP formulation:

    make ≥ MAKEMIN · ifmake [1]
    make ≤ MAKEMAX · ifmake [2]

    Note: see Section Minimum activity level for an alternative formulation using semi-continuous variables
  • The ifmake binary variable also allows us to model fixed costs
    • FCOST: fixed production cost
    • VCOST: variable production cost
    MIP formulation:

    cost = FCOST · ifmake + VCOST · make [3]
    make ≥ MAKEMIN · ifmake [1]
    make ≤ MAKEMAX · ifmake [2]


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