TYBMS OPERATION RESEARCH SEM VI

Unit I : Introduction to OR and Linear Programming

1. Operation Research Introduction, Models, Areas of Application. Linear

Programming (L.P.): Mathematical Formulation of L.P. problem.
2. Graphical Method. Simplex Method Concept of slack, surplus & artificial
variables. Manual solutions of L.P.P. upto 3 iterations. Minimization &
Maximization Problems.
3. Special Cases (i) Alternative optima (ii) Unbounded solutions & (iii) Infeasible
solutions to be shown graphically & also by simplex method.

Unit II : Transportation & Assignment Models

1. Definition of the transportation model. Balanced / Unbalanced, Minimization /

Maximization. Determination of the initial basic feasible solution using (i) North-
West Corner Rule (ii) Least cost method & (iii) Vogels approximation method
for balanced & unbalanced transportation problems. Optimality Test & obtaining
of optimal solution. (Considering per unit transportation cost)
2. Assignment Problem Hungarian method.
3. Statement of Transportation & Assignment Problems as L.P. Problems.

Unit III : Network Analysis

1. Construction of Network Rules & Precautions.

2. C.P.M. & P.E.R.T. Networks. Obtaining of Critical Path. Time estimates for
activities. Probability of completion of project. Determination of floats (total, free,
independent & interfering) Crashing of Simple Networks.

Unit IV : Decision Theory And Decision Tree

1. Decision Environments risk & uncertainty, Payoff table, Regret table.

2. Decision making under uncertainty
3. Maximin & Maximax criteria
4. Minimax Regret criterion
5. Laplace criterion
6. Hurwicz criterion
7. Expected Monetary Value criterion.
8. Expected Value of Perfect Information (E.V.P. I.)
9. Expected Opportunity Loss (E.O.L.).
10. Decision Tree, Simple examples