Selection of Mining Machinery Based on Mechanical Delay Statistics: An Application of Goal Programming to Capital Budgeting

Author

R. Larry Grayson, Missouri University of Science and TechnologyFollow

Abstract

This paper presents an application of goal programming (GP) to major mining machinery purchases based on historical operating data on mechanical downtime and production. The gp technique, an extension of integer programming, is used to maximize an objective function comprised of deviations away from management-preferred financial goals. Different capital budgeting techniques are used to evaluate capital proposals and the results are combined and weighted in a maximization of profits.

Recommended Citation

R. L. Grayson, "Selection of Mining Machinery Based on Mechanical Delay Statistics: An Application of Goal Programming to Capital Budgeting," Transactions of the American Institute of Mining, Metallurgical, and Petroleum Engineers, Society, American Institute of Mining, Metallurgical and Petroleum Engineers (AIME), Jan 1983.

Department(s)

Mining Engineering

Document Type

Article - Journal

Document Version

Citation

File Type

text

Language(s)

English

Rights

© 1983 American Institute of Mining, Metallurgical and Petroleum Engineers (AIME), All rights reserved.

Publication Date

01 Jan 1983