Introduction to operation

Research
By
Ms.U.V.Kharade
Introduction
• Operations Research (OR) is a discipline that helps to make
better decisions in complex scenarios by the application of a set of
advanced analytical methods.
• It couples theories, results and theorems of mathematics, statistics
and probability with its own theories and algorithms for problem
solving.
• Applications of OR techniques spread over various fields in
engineering, management and public systems. 
Definition
• O.R. is the art of winning wars without actually fighting. - Aurther Clarke
• It is concerned with scientifically deciding how to best design and operate man-machine systems usually
under conditions requiring the allocation of scarce resources. -O.R. Society of America
• O.R. is the art of giving bad answers to problems which otherwise have worse answers. -T.L. Saaty
• O.R. is applied decision theory. It uses any scientific, mathematical or logical means to attempt to cope with
the problems that confront the executive, when he tries to achieve a thorough-going rationality in dealing
with his decision problems. -D.W. Miller and M.K. Starr
• Operational research is a scientific approach to problems solving for executive management. -H.M. Wagner
• O.R. is the application of scientific methods, techniques and tools to problems involving the operations of a
system so as to provide those in control of the system with optimum solution to the problem. -Churchman,
Ackoff and Arnoff
• O.R. is scientific methodology-analytical, experimental, quantitative-which by assessing the overall
implication of various alternative courses of action in a management system, provides an improved basis for
management decisions. –Pocock
Scope of Operation Research
• Finance, Budgeting and Investments
• Marketing
• Purchasing, procurement and Exploration
• Production Management
• Personal management
• Research and Development
Evolution and Classification of quantitative
methods and Operations
• Linear programming
• Transportation problem
• Assignment Problem
• Queuing Theory
• Game Theory
• Inventory Control Models
• Goal programming
• Simulation
• Non Linear Programming
Evolution and Classification of quantitative
methods and Operations
• Integer Programming
• Dynamic programming
• Sequencing Theory
• Replacement Theory
• PERT & CPM
Methodology
1. Formulate the problem
2. Observe the system
3. Formulate Mathematical model of the problem
4. Verify the model and use model for prediction
5. Select a suitable alternative given a model and a set of alternatives
6. Present the result and Conclusions of the study
7. Implement and evaluate recommendation
Advantages
• Better system
• Better control
• Better Decision
• Better Co-ordination
Limitations
• Dependence on Electronic Computer
• Non Quantifiable Factors
• Distance between manager and Researcher
• Money and Time cost
• Implementation