MBA Semester 2 MB0048 Operations Research 4 Credits ASSIGNMENT Set !

Spring/Feb 2013 Ro"" No# !20802$%&!

'#! E(p"ain the scope o) Operations research# *hat are the )eat+res o) Operations Research, Ans# Scope o) Operation Research Any problem, simple or complicated, can use OR techniques to ind the best possible solution! i- In .e)ense Operations/ "n modern #ar are, the de ense operations are carried out by three ma$or independent components namely Air Force, Army and %a&y! 'he acti&ities in each o these components can be urther di&ided in our sub(components namely) administration, intelligence, operations and training and supply! 'he applications o modern #ar are techniques in each o the components o military organisations require e*pertise +no#ledge in respecti&e ields! ii- In Ind+str0/ 'he system o modern industries is so comple* that the optimum point o operation in its &arious components cannot be intuiti&ely $udged by an indi&idual! 'he business en&ironment is al#ays changing and any decision use ul at one time may not be so good some time later! iii- 1"annin2/ "n modern times, it has become necessary or e&ery go&ernment to ha&e care ul planning, or economic de&elopment o the country! OR techniques can be ruit ully applied to ma*imise the per capita income, #ith minimum sacri ice and time! i3- A2ric+"t+re/ ,ith increase in population, there is a need to increase agriculture output! -ut this cannot be done arbitrarily! 'here are se&eral restrictions! .ence the need to determine a course o action ser&ing the best under the gi&en restrictions! 3- In 4ospita"s/ OR methods can sol&e #aiting problems in out(patient department o big hospitals and administrati&e problems o the hospital organisations! 3i- In Transport/ /ou can apply di erent OR methods to regulate the arri&al o trains and processing times minimise the passengers #aiting time and reduce congestion, ormulate suitable transportation policy, thereby reducing the costs and time o trans(shipment! 3ii- Research and .e3e"opment/ /ou can apply OR methodologies in the ield o R01 or se&eral purposes, such as to control and plan product introductions! 5eat+res o) Operation Research 1! OR is system oriented! OR scrutinises the problem rom an organisation2s perspecti&e! 2! OR imbibes an inter(disciplinary team approach! Since no single indi&idual can ha&e a thorough +no#ledge o all ast de&eloping scienti ic +no#(ho#, personalities rom di erent scienti ic and managerial cadre orm a team to sol&e the problem! 3! OR ma+es use o scienti ic methods to sol&e problems! 3! OR increases e ecti&eness o the management2s decision(ma+ing ability! 4! OR ma+es use o computers to sol&e large and comple* problems! 5! OR o ers a quantitati&e solution!

6! OR also ta+es into account the human actors! '#2 Si( Operators are to 6e assi2ned to )i3e 7o6s 8ith the cost o) assi2nment in Rs# Gi3en in the matri( 6e"o8# .etermine the optima" assi2nment# *hich operator 8i"" ha3e no assi2nment, 7obs 1 2 3 3 4 5 1 2 3 Operator 3 4 5 Ans 1 1 2 Operator 3 3 4 5 3 0 3 3 5 1 3 0 4 3 6 2 0 3 4 0 0 4 2 0 3 5 0 1 4 2 4 2 0 3 0 5 2 6 5 9 3 2 4 8 2 3 6 4 8 5 3 8 3 7obs 3 2 4 3 0 4 1 0 4 5 2 5 3 1 2 2 0 1 2 3 0 4 6 2 6 3 1 1 0 1 0 0 4 1 2 3 0 2 3 5 0 0 0 0 0 0 32 12 50 44 23 53 !& 2 6 9 3 9 5 5 6 8 4 6 8 0 0 0 0 0

'#$ 9a- E(p"ain the Monte Car"o Sim+"ation# Ans! 'he :onte(;arlo method is simulation technique in #hich statistical distribution unctions are created by using a series o random numbers! 'his approach has the ability to de&elop many months o years data in a matter o e# minutes on a digital computer! 'he method is generally used to sol&e the problems that cannot be adequately represented by mathematical models or #here solution o the model is not possible by analytical method! :onte ;arlo simulation is summari<ed in i&e steps) Step ! / .e)ine the pro6"em/ A= "denti y the problem! -= "denti y the ob$ecti&es o the problems ;= "denti y the main actors that ha&e the greatest e ect on the ob$ecti&es o the problem! Step 2/ Constr+ct the appreciate mode"/ A= Speci y the &ariables and parameters o the model! -= Formulate the appropriate decision rules ;= "denti y the type o distribution that #ill be used! :odels use either >theoretical distribution2 or >empirical distributions2 to state the patterns o occurrence ASSO;"A'?1 ,"'. '.? @AR"-A?S! 1= Speci y the manner in #hich time #ill change! ?= 1e ine the relationship bet#een the &ariables and parameters! Step $/ 1repare the mode" )or e(amination/ A= 1e ine the starting conditions or the simulation! -= Speci y the number o runs o simulation to be made! Step 4/ :sin2 steps !;$< e(periment 8ith the mode"s/ A= 1e ine a coding system that #ill correlate the actors de ined in step 1 #ith the random numbers to be generated or the silulation! -= Select a random number generator and create the random number to be used in the simulation! ;= Associate the generated random numbers #ith the actors identi ied in step 1 and code in step 3 BA=! Step =/ Summarise and e*amine the results o the simulation # Step &/ ?&aluate the results o the simulation, Step >/ Formulate proposals or ad&ice to management on the course o action to be adopted and modi y, i necessary! '# $# 96- A compan0 prod+ces !=0 cars# B+t the prod+ction rate 3aries 8ith the distri6+tion# 1rod+ction Rate
Crobability

!4>
0!04

!48
0!10

!4%
0!14

!=0
0!20

!=!
0!30

!=2
0!14

!=$
0!14

At present the trac+ #ill hold 140 cars! Dsing the ollo#ing random numbers determine the a&erage number o cars #aiting or shipment in the company and a&erage numbers o empty space in the truc+! Random %umbers 82,43,40,95,84,33,30,02,53,36, Ans! 'able o Croduction Rate and Crobability 1rod+ction rate 1ro6a6i"it0 C+m+"ati3e 1ro6a6i"it0 Random No# Assi2ned
136 138 139 140 141 142 143 0!04 0!10 0!14 0!20 0!30 0!14 0!04 0!04 0!14 0!30 0!40 0!80 0!94 1!00 00(03 04(13 14(29 30(69 40(69 80(93 94(99

'able o Simulation ,or+sheet Tria" Rando Sim+"ated No# m No# 1rod+ction Rate
1 2 3 3 4 5 6 8 9 10 82 43 40 95 84 33 30 02 53 36 'otal 142 140 140 143 142 140 140 136 141 140

Cars *aitin2 in the )actor0

2 2 2 4 6 6 6 3 4 6

N+m6er o) e(amp"e spaces in the tr+c?

( ( ( ( ( ( ( 3 ( ( 3

There)ore a3era2e n+m6er o) cars 8aitin2@ >A!0 @ 0#>Ada0 A3era2e n+m6er o) empt0 space@ $A!0 @0#$Ada0

'#4# E(p"ain the Characteristics and Constit+ents o) a '+e+in2 S0stem# Ans! A queuing model has the ollo#ing operating characteristics #hich enables us to understand and e iciently manage a queue) '+e+e "en2th/ 'he number o customers in the #aiting line re lects one o the t#o conditions! Short queue could mean either good customers ser&ice or too much capacity! Similarly, long queues could indicate either lo# ser&er e iciency o the need to increase capacity! N+m6er o) c+stomers in s0stem/ 'he number o customers in queue and also those being ser&ed in the queue relates to the ser&ice e iciency and capacity! Aarge &alues imply congestion, potential customers dissatis action and a need or more capacity! *aitin2 time in B+e+e/ Aong lines do not re lect long #aiting times i the ser&ice rate is ast! .o#e&er, #hen #aiting time seems long to customers, they indicate a need to ad$ust the ser&ice is poor! Aong #aiting times may indicate a need to ad$ust the ser&ice rate o the system nor change the arri&al rate o customers! *aitin2 time in s0stem/ 'he total elapsed time rom entry into the system until e*it rom the system may indicate problems #ith customers, ser&er e iciency or capacity ! " some customers are spending too much time in the ser&ice system, there may be a need to change the priority discipline, increase producti&ity or ad$ust capacity in some #ay! Ser3ice )aci"it0 +ti"iCation/ 'he collecti&e utili<ation o the ser&ice acilities re lects the percentage o time the acilities are busy! :anagement may ad&ersely impact the other operating characteristics!

'he queuing system is said to be in transient state #hen its operating characteristics are dependent upon time! " the operating characterists become independent upon time, the queuing system is said to be in a steady state! Constit+ents o) a B+e+in2 S0stem/ 'he constituents o a queuing system include arri&al pattern, ser&ice acility and queue discipline! Arri&al Cattern ) "t is the a&erage rate at #hich the customer arri&e! Ser&ice Facility ) ?*amining the number o customers ser&ed at a time and the statistical pattern o time ta+en or ser&ice at the ser&ice acility!

Eueue discipline ) 'he common method o choosing a customer by ser&ice amoungs those #aiting or ser&ice is >First ;ome First Ser&ice2!

'# =# A# *hat do 0o+ mean 60 dominance, State the dominance r+"es )or ro8s and co"+mns# Ans! 1ominance method is also applicable to pure strategy and mi*ed strategy problem! "n pure strategy the solution is obtained by itsel #hile in mi*ed strategy it can be used or simpli ying the problem! 1rincip"e o) .ominance/ 'he Crinciple o 1ominance states that i the strategy o a player dominates o&er the other strategy in all condition then the later strategy is ignored because it #ill not e ect the solution in any #ay! For the gainer point o &ie# i a strategy gi&es more gain than another strategy, then irst strategy dominates o&er the other and the second strategy can be ignored altogether! Similarly rom loser point o &ie#, i a strategy in&ol&es lesser loss than other in all condition then second can be ignored! So determination o superior or in erior strategy is based upon the ob$ecti&e o the player! Since each player is to select his best strategy, the in erior strategies can be eliminated! "n other #ords, ine ecti&e ro#s 0 column can be deleted rom the game matri* and only e ecti&e ro#s 0 columns o the matri* are retained in the reduced matri*! For deleting the ine ecti&e ro#s 0 columns the ollo#ing general rules are to be ollo#ed! 1! " all the elements o a ro# Bsay ith ro#= o a pay o matri* are less than or equal to BF= the corresponding each element o the other ro# Bsay $th ro#= then the player A #ill ne&er choose the ith strategy OR ith ro# is dominated by $th ro#! 'hen delete ith ro#! 2! " all the elements o a column Bsay $th column are greater than or equal to the corresponding elements o any other column Bsay $th column= then ith column is dominated by $th column! 'hen delete ith column! 3! A pure strategy o a player may also be dominated i it is in erior to some con&e* combination o t#o or more pure strategies! As a particular case, i all the elements o a column are greater than or equal to the a&erage o t#o or more other columns then this column is dominated by the group o columns! Similarly i all the elements o ro# are less than or equal to the a&erage o t#o or more ro#s then this ro# is dominated by other group o ro#! 3! -y eliminating some o the dominated ro#s a columns and i the game is reduced to 2 * 2 orm it can be easily sol&ed by odds method!

' =#B# 5ind the sadd"e point o) the )o""o8in2 2ames and state the optim+m strate2ies )or p"a0ers A and B A 1 1 2 3 3 Ans! '&# A# *hat are the di))erences 6et8een 1ERT and C1M, -oth are C?R' and ;C: are based on the net#or+ representation o acti&ies and their scheduling, #hich determines the most critial acti&ities to be controlled in order to meet the completion date o the pro$ect! 1ERT C?R' #as de&eloped in connection #ith an Research and 1e&elopment BR01= #or+! 'here ore, it had to cope #ith the uncertainties that are associated #ith R01 acti&ities !"n C?R', the total pro$ect duration is regarded as a random &ariable! 'here ore, associated probabilities are calculated in order to characteri<e it! "t is an e&ent(oriented net#or+ as in the analysis o a net#or+, emphasis is gi&en on the important stages o completion o a tas+ rather than the acti&ities required to be per ormed to reach a particular e&ent or tas+! C?R' is normally used or pro$ects in&ol&ing acti&ities o non(repetiti&e nature in #hich time estimates are uncertain! "t helps in pinpointing critical areas in a pro$ect! So that necessary ad$ustment can be made to meet the scheduled completion date o the pro$ect! 9 5 2 4 2 3 4 3 5 3 1 3 3 2 3 8 5 3 2 4 0 6 8 1

C1M

;C: #as de&eloped in connection #ith a construction pro$ect, #hich consisted o routine tas+s #hose recourse requirements and duration #ere +no#n #ith certainty! 'here ore, it is basically deterministic! ;C: is suitable or establishing a trade(o schedule time and cost o the pro$ect! or optimum balancing bet#een

;C: is used or pro$ects in&ol&ing acti&ities o repetiti&e nature!