In the context of PeopleSoft Optimization Framework, optimization means deciding on the best course of action given a range of alternatives. You use PeopleSoft Optimization Framework and the PeopleTools environment to build applications that use optimization-based decision-making.

PeopleSoft Optimization Framework enables applications to specify their business objectives, define the conditions, and set resource constraints. PeopleSoft Optimization Framework then applies advanced mathematical modeling and solution techniques to find solutions that meet input criteria. In contrast to sequential, query-based applications, which require users to analyze criteria and make decisions one by one, the solution generated by optimization exceeds, or at least matches, a solution generated by a person.