Using the Linear Programming Model to Improve Institutional Finance Decisions: An Applied Study on the Sherifian Office of Phosphates OCP (Morocco, 2023-2027)

Author's Information:

Amanzoui Fatima Ezzahra

Master's student in Participatory Finance Engineering and Artificial Intelligence, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

Saoudi Rokaya

Master's student in Participatory Finance Engineering and Artificial Intelligence, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

Maaroufi Wissal

Master's student in Participatory Finance Engineering and Artificial Intelligence, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

Dandane Fatima Ezzahra

Master's student in Participatory Finance Engineering and Artificial Intelligence, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

Jorafi Souhaila

Master's student in Participatory Finance Engineering and Artificial Intelligence, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

Faris Asmaa

Laboratory of Applied Modeling for Economics and Management, Faculty of Legal, Economic, and Social Sciences - Ain Sbaa, University Hassan II Casablanca, Morocco. 

El Hachloufi Mostafa

Department of Statistics and Applied Mathematics for Economics and Management, University Hassan II Casablanca, Morocco. 

Vol 02 No 10 (2025):Volume 02 Issue 10 October 2025

Page No.: 976-987

Abstract:

Financing decision-making is one of the main challenges facing organizations in a complex and multi alternative economic environment. In this context, this research ought to improve funding decisions by employing the linear programming model, in particular the transport model, supported by the simulation of linear weighting, in the distribution of financing resources within OCP to four strategic projects. The research aims to provide a quantitative model that supports decision-making in the absence of accurate data on demand, with a focus on achieving a balance Between the strategic priorities and financial constraints associated with the various sources of financing, represented in international bonds, strategic partnerships and international loans. The methodology relied on building a mathematical model that represents the funding relationships between projects and sources, and used linear weight simulation to determine the relative importance of each project, then the data was processed and analyzed using Python programming tools. The results showed that the proposed model contributed to providing an effective and objective funding distribution that reflects the relative importance of projects without exceeding the imposed restrictions, and also allowed flexibility in testing multiple scenarios and possible data updates. The added value of this model is highlighted in its ability to support decisions Finance in environments of uncertainty and a multitude of alternatives, providing a quantitative tool applicable at the level of strategic institutions. Thus, the research concludes that the integration of linear programming with linear weighting simulation constitutes a practical framework for improving the efficiency of resource allocation and enhancing the quality of financial decision in contemporary institutions.

KeyWords:

linear programming, transfer problems, linear weighting simulation of weight distribution, institutional finance

References:

  1. Aarab, z. (2020). Improving the Performance of Economic Institutions Using Numerical Linear Programming: A Case Study of the Metal Planting Institution. Journal of Studies in Economics, Commerce and Finance. 
  2. Al-Hosiny, A. (2024). Al-Kafi in Python. 
  3. Al-Qutli, R. (2018). Simulation and Modeling. Syrian Virtual University. 
  4. Al-Sheikh Hassan, F. (2024). Using Linear Programming Model and Importance Degree in Selecting the Optimal Investement Projects: A Comparative Study on Petrochemical Industry Companies. Al-Bahth University Journal, Volume 46, Issue 2, Series of Economic and Tourism Sciences. 
  5. Bari, A. (2002). Modeling and Simulation. King Saud University. 
  6. Brigham, E., & Ehrhardt, M. (2020). Financial Management: Theory & Practice (16th ed). cengage Learning. 
  7. Faeq, Y., & Hassan, M. (2024). Using the Linear Programming Method in Optimal Production Planning for the Yamoon Factory for the Year 2017 in Iraq. Al-Baath University Journal, Volume 46, Issue 2, Series of Economic and Tourism Sciences. 
  8. Faez Hassan, A. (2020). Statistics and Operations Research. 
  9. Faraj, y. (2009). Basics Of The Python Programming Language. 
  10. Frederick S. Hillier, & Gerald J. Lieberman. (2005). Introduction to Operations Research. FIFTH EDITION. 
  11. Hamdan O. Alanazi, Abdul Hanan Abdullah, & Moussa Larbani. (2013). Dynamic Weighted Sum MultiCriteria Decision Making: Mathematical. International Journal of Mathematics and Statistics Invention (IJMSI). 
  12. Jane, G., Michael, G., & Robert, K. (1980). the first systems of weighted Differential and Integral Calculus. 
  13. Michael, R. (2020). Financial Decision-Making. The Wharton School, University of Pennsylvania. 
  14. Michel Goemans. (2015). Linear programming. 
  15. Mishkin, F., & Eakins, S. (2018). Financial Markets And Institutions. Pearson Education. 
  16. Philippe, J. (2007). Value at Risk: The New Benchmark for Managing Financial Risk. 
  17. Samer, E. (2023). Unlocking opportunities: Understanding institutional banking and. Department of Psychiatry, American University of Beirut, Beirut, Lebanon, Journal of Financial Markets. 
  18. Students, L. (2016). Mathematics Lecture. Lecture Of The Faculty Of Economics, Commerce, and Management Sciences, University Of Batna. 
  19. Swinnen, G. (2013). Learn Programming with Python. The Arab Linux Community. 
  20. Systems, F. (2009). 
  21. Tagliaferri, L. (2020). Programming in Python language. Hasoub Academy. 
  22. Taher, H. (n.d.). Learn Python For Beginners. 
  23. Tayebnasab, S. F., Mohebali, R., Farhad, H., & Hamid Reza Maleki. (2021). Introducing a Bi-Level Linear Programming Model to Reduce Patient Payment and Increase Hospital Income Simultaneously. Hospital Practices and Research. 
  24. University, D. A. (2001). Systems Engineering Fundamentals. Defense Acquisition University Press Fort Belvoir, Virginia 22060-5565 United States of America. 
  25. wayne L. Winston, & Jeffrey B. Goldberg. (2004). Operations Research. 
  26. wilmott, P. (2006). Paul Wilmott on Quantitative Finance (2nd ed., 3 Volumes). John Wiley & Sons.