Quantitative Management

1 Introduction
1.1 What is Quantitative Management? Quantitative Management (also known as Operations Research) offers a systematic and scientific approach to problem solving and decision making in complex environments and situations of uncertainty and conflict. The discipline is characterized by a search for an optimal (best) answer for a problem by using quantitative (numerical) models. The use of mathematical models enables a decision maker to better understand the problems facing him/her and provides a tool for making informed and reasoned judgements. Quantitative Management is a practical field. It can be applied in many areas: manufacturing, businesses management, banking, environmental planning, mining, housing and engineering projects, management consultancy in fact, in every situation where numerical data are available and management or decision making takes place. The aim of the undergraduate programme in Quantitative Management is to give a student a substantive theoretical background in Quantitative Management, and at the same time to inculcate modeling skills and systematic thinking when solving decision making problems. At the conclusion of each year of the curriculum a student would be equipped with a variety of techniques and the skill of applying them to problems that arise in practice. Quantitative Management is a multi-disciplinary subject that can be usefully combined with any other subject in this College.
Strengths and weakness of the quantitative and Qualitative Approaches Strengths of the quantitative Making aggregation possible:- the most powerful strength of the quantitative approach and one that accounts for its wide use relevant at the national level and in a representative manner. The quantitative approach makes it possible to systematically measure the response of many individuals or groups of individuals to a set of questions without necessarily surveying the entire population. The quantitative approach then allows statistical aggregation of the data based on the sample. Providing Results Whose Reliability is Measurable:- Another important strength of the quantitative approach is that it provides results whose precision is measurable. The quantitative approach can indicate the reliability of the findings and the significance to be attached to them. Allowing Simulation of the effects of different policy Options:- quantitative work allows the determination of the impact of different sets of policies on target populations or target variables. This strength of the quantitative approach accounts for its wide use in policy formation.

Weakness of the Quantitative Approach Sampling and Non-sampling errors:- Data collection under the quantitative approach is subject to both sampling error. Sampling error refers to the error inherent in making inferences for a whole population from observing only a subset of its members. Sampling error is function of the absolute size of the sample (not the same size relative to

population) and the variance of the item being measured (if it has zero variance, then a sample of one will suffice). The acceptable degree of sampling error can be specified and a survey designed accordingly. For example, the LSMS survey use smaller sample then is usual for surveys of its types. This Non-sampling error can arise from coverage (data units either accidentally omitted or failing to respond) or content (falsification, misunderstanding or incompetence on the part of either respondent or enumerator). It is, of course, likely that the larger this undertaking then the greater these non-sampling error will be: partly as cost will dictate a slimmer questionnaire, allowing for fewer consistency checks on the date. Hence, there is a tradeoff between sampling error and non-sampling error and non-sampling error; a trade that will favor sample surveys over censuses for virtually all purposes other than the decennial population census. While quantitative approach is less prone to sampling errors than the qualitative approach because of the importance attached to sampling under the quantitative approach, the qualitative approach is generally more prone to non-sampling errors compared with the qualitative approach. The value of total household consumption obtained from quantitative methods may underestimate true household consumption methods. Also, respondent may not necessarily say what they feel in formal, structured interviews: true feelings may be better revealed by quantitative method. Missing what is not easily quantifiable:- Another limitation of the quantitative approach is to measure what is easily measurable at the expense of more important items that are less readily amenable to quantitative approaches tend to focus primarily on quantifiable information and what matters, standardizing the divers and excluding the divergent and different Jodha made an entry into the debate on poverty measurement with his finding: Households that have become poorer by conventional measures of income in fact appear better-off when seen through different qualitative indicators of their well-being.

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