Optimization of Technical Personnel Allocation for a Philippine Engineering Outsourcing Company

With the increasing number of multinational companies tapping engineering companies in the Philippines for their professional services, this study developed a linear programming model to assign engineering and design activities to its personnel. The study optimized the allocation of personnel to the activities by minimizing the cost incurred by optimizing the allocation of the activities, which would help the company be more competitive and innovative in a growing industry. Results showed that the linear programming model optimized the cost by 23% on average per month, where some personnel accumulated slack hours due to the distribution. These findings contributed to Philippine engineering outsourcing companies’ operations, especially in minimizing costs.