ASSIGNMENT 1

BJQP2023 MANAGEMENT SCIENCE

1. Define ‘management science’.
-Management science uses a scientific approach to solving management problems.
Management science, also known as operations research, quantitative methods, likes
involves a philosophy of problem solving in a logical manner

2. What are the steps in ‘management science process’ and briefly explain each steps?
• Observation - Identification of a problem that exists (or may occur soon) in a system or
organization.
• Definition of the Problem - problem must be clearly and consistently defined, showing its
boundaries and interactions with the objectives of the organization.
• Model Construction - Development of the functional mathematical relationships that
describe the decision variables, objective function and constraints of the problem.
• Model Solution - Models solved using management science techniques.
• Model Implementation - Actual use of the model or its solution.

3. What is the importance of management science in business operation?

▪ Determine the number of units to produce to make the most profit, given the limited amount
of steel available.
4. Why do you learn management science methods?
• I have the opportunity to solve real-world problems. These problems matter to
organizations and have an impact. In areas such as healthcare, engineering, public policy,
national defense, resource management, and disaster relief. You can truly change peoples’
lives for the better.
• I can use my analytical skills and creativity. There is a job in Management Science for me.
Whether I like subjects like math, engineering, computer science or an industry, such as
healthcare, manufacturing, finance, government, or military
• I become a better strategist
The Management Science discipline of looking at problems, creating models, setting up
analysis that points to better options and results helps me make better personal and
professional decisions.

5. Briefly explain the definition of the following management science techniques:

a. Linear Programming
-Linear programming uses linear algebraic relationships to represent a firm’s
decisions, given a business objective, and resource constraints.

b. Forecasting
forecasting methods are available for use depending on the time frame of the forecast
and the existence of patterns

c. Simulation technique
simulation technique use The Monte Carlo technique which is defined as a technique
for selecting numbers randomly from a probability distribution for use in a trial
(computer run) of a simulation model.

Applicable to business problems to exhibit chance or uncertainty such as :

▪ Inventory demand
▪ Lead time for inventory
▪ Times between machine breakdowns
▪ Times between arrivals
▪ Service times
d. Project Management
 Finding the minimum project duration for project competition to shorten various
project tasks and minimize total project costs.

e. Sensitivity Analysis
-Assigning jobs to machines in such a way that the total cost of performing the jobs
is minimized.

f. Transportation & Assignment method

-Developing distribution plans that will minimize total distribution costs given the
capacities of the various factories and the needs of the warehouses

- Your definition should be very concise and within the scope/domain of management
science/operational research.

6. The kitchen manager for Pusat Koreksional Pokok Sena is trying to decide what to feed its
inmates. She would like to offer some combination of milk, beans, and oranges. The goal is
to minimize cost, subject to meeting the minimum nutritional requirements imposed by law.
The cost and nutritional content of each food, along with the minimum nutritional
requirements, are shown below. Formulate the model for this problem algebraically.
Milk (gallons) Navy Beans Oranges (large Minimum Daily
(cups) calif. Valencia) Require
Niacin (mg) 3.2 4.9 0.8 13.0
Thiamin (mg) 1.12 1.3 0.19 1.5
Vitamin C 32.0 0.0 93.0 45
Cost ($) 2.00 0.20 0.25

Decision variables:
X1A = combination of niacin and milk
X1B = combination of niacin and Navy Beans
X1C = combination of niacin and Oranges
X2A = combination of Thiamin and milk
X2B = combination of Thiamin and Navy Beans
X2C = combination of Thiamin and Oranges
X3A = combination of Vitamin C and milk
X3B = combination of Vitamin C and Navy Beans
X3C = combination of Vitamin C and Oranges

Objective function :
Minimize Z = 3.2 X1A + 4.9 X1B + 0.8 X1C + 1.12 X2A + 1.3 X2B+ 0.19 X2C + 32.0 X3A +
0.0 X3B + 93.0 X3C

Subject to:
X1A + X1B + X1C ≤ 13.0
X2A + X2B + X2C ≤ 1.5
X3A + X3B + X3C ≤ 4.5
X1A + X2A + X3A = 2.0
X1B + X2B + X2B = 0.2
X1C + X2C + X3C = 0.25

(Submission: 16 Mac 2020)