2nd Asia Pacific International Conference on Industrial Engineering and Operations Management

Cost Minimization of Feeds in RGS Hog Farm in the Philippines: An Operation Research Approach

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Track: Undergraduate Student Paper Competition
Abstract

The coronavirus disease poses a health threat not only to humans but also causes disruptions in the animal feed industry which had a huge impact on the hog industry. The uptrend rise in feed costs is one of the serious issues present in the said industry. To provide recommendations on how to deal with the threat of the rising cost of hog meat in the country, a case study was applied to test the proposed feed combination by utilizing linear programming to obtain an optimal solution in minimizing feed costs. The researchers considered RGS Hog Farm, a company established in 2018 and is located in San Pablo City, Laguna, Philippines. Using the linear programming method, the results yielded the minimum value of the objective function Z=29 occurring at the extreme point (0.5,0.5). Thus, the optimal solution can minimize the cost of feed consumption for as low as 29 dollars with a diet program inclusive of a combination of 25 kilograms each of ABC Feeds and XYZ Feeds. The amount of the combination can lead to significant savings of 11% daily and is enough to be fed for hogs in the grower stage all while satisfying their nutritional needs.

Published in: 2nd Asia Pacific International Conference on Industrial Engineering and Operations Management, Surakarta, Indonesia

Publisher: IEOM Society International
Date of Conference: September 13-16, 2021

ISBN: 978-1-7923-6129-6
ISSN/E-ISSN: 2169-8767