Intermediate level · Module 3: What-If Analysis and Financial Modelling · Lesson 2 of 3
Optimisation with Solver
Find the best decision under constraints with the Solver add-in.
In this lesson you will
- Set up objective, decision variables and constraints
- Interpret Solver results and limits
Key concepts
objective celldecision variablesconstraintsfeasibility
The lesson
Solver finds the values of decision cells that maximise or minimise an objective, such as profit, while respecting constraints: limited budget, storage space or minimum stock.
Typical uses include product mix (how many of each item to stock), staff scheduling and transport plans.
Check results for sense. If Solver finds no feasible solution, the constraints conflict; review them before trusting any answer.
Step by step
- Enable the Solver add-in.
- Set up a product-mix model with constraints.
- Run Solver and read the result.
- Change one constraint and compare.
Practice activity
Find the best stock mix for the shop within budget and storage limits.
Expected result: A Solver solution that respects every constraint, with a sense check.
Check your understanding
-
What three things does a Solver model need?
Show answer
An objective, decision variables and constraints.
-
What does 'no feasible solution' mean?
Show answer
The constraints cannot all be met at once.
Taught live by an instructor — online or in person. Free course lessons are for self-study and do not lead to a certificate — see registration options.