Operation Research

                                    Syllabus

                        20MBA110- Operations Research

Module 1

Introduction to Operations Research: Origin and Growth of OR, importance of OR in Managerial Decision Making, Scope & Applications of OR, Models and Modelling in OR.

Linear Programming Problems: Formulation of the Problem, Solution by Graphical Method & Simplex Algorithm, Degeneracy in LPP. Special Cases in OR, Duality in LPP, Sensitivity analysis of optimal LP solutions.

Module 2

Allocation Problem Models: Transportation Problems: Formulation, Methods of Finding Initial Solution (North West Corner Rule, Least Cost Method and Vogel’s Approximation Method), Test for Optimality (MODI Method), Unbalanced Transportation Problems, Maximization Transportation Problem.

Assignment Problems: Formulation, Methods of Solution, Hungarian Method, Multiple Optimal Solutions, Unbalanced Problems, Maximization Problems.

Module 3

Decision Theory: Concepts of Decision Making, Decision Making Environments, Decision Making under Uncertainty – Decision Making Under Risk, Decision Tree Analysis.

Queuing Model Structure, Kendall Lee Notation - M/M/1 Queues – Standard Problems.

Module 4

Meaning of Inventory – Basic Concepts of Inventory Control – Costs Associated with Inventory- Economic Order Quantity –Reorder Point – Safety Stock – P-System-Q-System- Advantages and Disadvantages-Back Order-Fill Rate, Service Level

Replacement Analysis: Items that Deteriorate Over Time- Items that Fail Suddenly, Optimum Replacement Policies for Both Cases.

Module 5

Concepts of Network Analysis, Project Network Models, Critical Path Method, PERT, Project Time-cost Trade Off, Resource Scheduling

Game Theory: Two-Person Zero-Sum Game, Saddle Point Games, Principle of Dominance, Graphical Solution.