Scribd
Upload
282 views2 pages

Management Science

This document contains 14 problems related to operations research and management science concepts. Problem 4 asks why a firm considering 500+ products from 50+ production lines should take a quantitative approach to weekly production scheduling given the critical nature and lack of experience. Problem 6 asks why a simple but reasonable approximation model may be preferred to a complex but most accurate model. Problem 8 involves modeling unit production and profits for two products simultaneously.

Uploaded by

nerisa econas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
282 views2 pages

Management Science

This document contains 14 problems related to operations research and management science concepts. Problem 4 asks why a firm considering 500+ products from 50+ production lines should take a quantitative approach to weekly production scheduling given the critical nature and lack of experience. Problem 6 asks why a simple but reasonable approximation model may be preferred to a complex but most accurate model. Problem 8 involves modeling unit production and profits for two products simultaneously.

Uploaded by

nerisa econas
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 2

Sheet 1-Chapter 1 PROBLEMS

Introduction

1. Define the terms management science and operations research.


2. List and discuss the steps of the decision-making process.
4. A firm just completed a new plant that will produce more than 500 different
products, using more than 50 different production lines and machines. The
production scheduling decisions are critical in that sales will be lost if customer
demands are not met on time. If no individual in the firm has experience with this
production operation and if new production schedules must be generated each week,
why should the firm consider a quantitative approach to the production scheduling
problem?
6. Suppose that a manager has a choice between the following two mathematical
models of a given situation: (a) a relatively simple model that is a reasonable
approximation of the real situation, and (b) a thorough and complex model that is
the most accurate mathematical representation of the real situation possible. Why
might the model described in part (a) be preferred by the manager?
8. Recall the production model from Section 1.3:

Suppose the firm in this example considers a second product that has a unit profit of
$5 and requires 2 hours of production time for each unit produced. Use y as the
number of units of product 2 produced.
a. Show the mathematical model when both products are considered
simultaneously.
b. Identify the controllable and uncontrollable inputs for this model.
c. Draw the flowchart of the input-output process for this model (see Figure 1.5).
d. What are the optimal solution values of x and y?
e. Is the model developed in part (a) a deterministic or a stochastic model?
Explain.
10. A retail store in Des Moines, Iowa, receives shipments of a particular product from
Kansas City and Minneapolis. Let
1
a. Write an expression for the total number of units of the product received by the
retail store in Des Moines.
b. Shipments from Kansas City cost $0.20 per unit, and shipments from
Minneapolis cost $0.25 per unit. Develop an objective function representing the
total cost of shipments to Des Moines.
c. Assuming the monthly demand at the retail store is 5000 units, develop a
constraint that requires 5000 units to be shipped to Des Moines.
d. No more than 4000 units can be shipped from Kansas City, and no more than
3000 units can be shipped from Minneapolis in a month. Develop constraints to
model this situation.
e. Of course, negative amounts cannot be shipped. Combine the objective function
and constraints developed to state a mathematical model for satisfying the
demand at the Des Moines retail store at minimum cost.
12. The O’Neill Shoe Manufacturing Company will produce a special-style shoe if the
order size is large enough to provide a reasonable profit. For each special-style
order, the company incurs a fixed cost of $1000 for the production setup. The
variable cost is $30 per pair, and each pair sells for $40.
a. Let x indicate the number of pairs of shoes produced. Develop a mathematical
model for the total cost of producing x pairs of shoes.
b. Let P indicate the total profit. Develop a mathematical model for the total profit
realized from an order for x pairs of shoes.
c. How large must the shoe order be before O’Neill will break even?
13. Micromedia offers computer training seminars on a variety of topics. In the
seminars each student works at a personal computer, practicing the particular
activity that the instructor is presenting. Micromedia is currently planning a two-
day seminar on the use of Microsoft Excel in statistical analysis. The projected fee
for the seminar is $300 per student. The cost for the conference room, instructor
compensation, lab assistants, and promotion is $4800.
Micromedia rents computers for its seminars at a cost of $30 per computer per day.
a. Develop a model for the total cost to put on the seminar. Let x represent the
number of students who enroll in the seminar.
b. Develop a model for the total profit if x students enroll in the seminar.
c. Micromedia has forecasted an enrollment of 30 students for the seminar. How
much profit will be earned if their forecast is accurate?
d. Compute the breakeven point.

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy