SENSITIVITY ANALYSIS IN A MANPOWER PLANNING MODEL

Abstract

Sensitivity analysis deals with the investigation into various changes in the optimum solution of a model due to changes in the original data. This research is an extension of the manpower planning models which use linear and dynamic programming techniques to determine optimum recruitment and wastage cost without incorporating sensitivity analysis in their formulations. This work aims at correcting this shortcoming by incorporating sensitivity analysis in the model using linear and dynamic programming techniques which investigate various changes in the objective function coefficients and changes in the right hand side values of the constraints. A numerical example using computer program simplex has been presented to demonstrate the effects of these changes. It is observed that the number of staff recruited and retrenched or retired are equal to the maximum number of staff anticipated (H) in the manpower system. It is also observed that the objective function value is highest when H is increased by two units and the initial number of staff (h) is increased by one unit