Introduction to resource allocation

Abstract

With ongoing habitat loss and degradation, ever-increasing threats to biodiversity, and limited funding for conservation and management, nearly every natural resource manager routinely faces difficult resource allocation problems. Funding and capacity for natural resource management rarely meet the need, and informed resource allocations are increasingly important. These decision problems include not only habitat and species management but also a wide variety of administrative decisions. Ranking projects or plans by benefit-cost ratio is an intuitive, heuristic approach to resource allocation but may be inefficient. We present a general resource allocation framework in which these decision problems can be stated mathematically, making it relatively easy to find solutions using mathematical programming such as linear programming. amenable to Linear programming and other constrained optimization routines, which can be implemented in common software applications and used with a wide variety of decision problems, including project prioritization and portfolio decisions. Constrained optimization has advantages over intuitive benefit-cost ratios and can accommodate single and multiple objective problems. We also introduce the three case studies in this section illustrating a variety of resource allocation problems: the first case study shows how to select cost-effective management actions for discrete management units such as wetlands or grassland patches; the second, how to use a patch dynamics model to allocation allocate resources for a reserve network that protects habitat for multiple species of conservation concern; and the third, how to use stochastic simulation to determine allocation of resources in space and time for invasive species management.