For example, let's analyze sales of three products. Column B consist the number of units of each product, column C shows the profit per unit for each product, and column D contains formulas that calculate the profit for each product:. Set up the worksheet with values and formulas. Make sure that you format cells logically; for example, if you cannot produce partial units of your products, format those cells to contain numbers with no decimal values.
On the Data tab, in the Analysis group, click Solver Solver is an add-in, if you can't found it, see How to manage Add-Ins :. To add a constraint, click the Add button. Excel displays the Add Constraint dialog box:. This dialog box has three parts: a Cell Reference , an operator, and a Constraint value. Here is how our transportation optimization problem looks like:.
To define our linear programming problem for the Excel Solver, let's answer the 3 main questions:. The next thing for you to do is to calculate the total quantity shipped from each warehouse G7:G8 , and the total goods received by each customer B9:E9.
You can do this with simple Sum formulas demonstrated in the below screenshot. To make our transportation optimization model easier to understand, create the following named ranges:. Please pay attention that we've chosen the Simplex LP solving method in this example because we are dealing with the linear programming problem.
If you are not sure what kind of problem yours is, you can leave the default GRG Nonlinear solving method. For more information, please see Excel Solver algorithms. Click the Solve button at the bottom of the Solver Parameters window, and you will get your answer. In this example, the Excel Solver add-in calculated the optimal quantity of goods to deliver to each customer from each warehouse with the minimal total cost of shipping:.
When solving a certain model, you may want to save your Variable cell values as a scenario that you can view or re-use later. For example, when calculating the minimal service cost in the very first example discussed in this tutorial, you may want to try different numbers of projected clients per month and see how that affects the service cost.
At that, you may want to save the most probable scenario you've already calculated and restore it at any moment. Saving an Excel Solver scenario boils down to selecting a range of cells to save the data in. Loading a Solver model is just a matter of providing Excel with the range of cells where your model is saved.
The detailed steps follow below. At the same time, the Solver Parameters window will show up where you can change your constraints and try different "what if" options. When defining a problem for the Excel Solver, you can choose one of the following methods in the Select a Solving Method dropdown box:. This is how you can use Solver in Excel to find the best solutions for your decision problems. And now, you may want to download the Excel Solver examples discussed in this tutorial and reverse-engineer them for better understanding.
I thank you for reading and hope to see you on our blog next week. What is Solver in Excel? How to add Solver to Excel The Solver add-in is included with all versions of Microsoft Excel beginning with , but it is not enabled by default. In the Excel Options dialog, click Add-Ins on the left sidebar, make sure Excel Add-ins is selected in the Manage box at the bottom of the window, and click Go.
If Excel displays a message that the Solver Add-in is not currently installed on your computer, click Yes to install it. The examples discussed in this tutorial use Solver in Excel If you have another Excel version, the screenshots may not match your version exactly, although the Solver functionality is basically the same.
In the Add-ins available box, select the Solver Add-in check box. If you don't see this name in the list, click the Browse Then click OK. Now on the Data tab, in the Analysis group, you should see the Solver command. In Excel for Macintosh , if you don't see the Solver command on the Tools menu, you need to load the Solver add-in. Click the Tools menu, then click the Add-ins command. In the Add-ins available box, select the Solver. If you don't see this name in the list, click the Select Now on the Tools menu, you should see the Solver command.
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