The article focuses attention on the problems encountered in formulating and using process mathematical models in an industrial environment. A model of an actual lime factory is used for descriptive purposes. The linear programming technique is employed to illustrate the simulation of the plant. The paper does not try to explain the mathematics of linear programming or any other technique used to simulate the activities of a plant. The aim of the writers is rather to outline the steps taken in formulating a plant model and what can be done with it. This paper is mainly concerned, therefore, with the managerial, engineering and cost accounting problems encountered. The linear programming technique is applied here mainly because of its wide range of applications. Much of what is described may be of value to persons using other methods.