Download e-book for kindle: Applied management science : modeling, spreadsheet analysis, by John A. Lawrence, Barry A. Pasternack

By John A. Lawrence, Barry A. Pasternack

ISBN-10: 0471391905

ISBN-13: 9780471391906

This cutting edge e-book indicates readers how you can use the administration technological know-how ends up in genuine managerial determination making. It makes a speciality of real-world purposes and utilizing software program instead of directly arithmetic. This method permits readers to pay attention to studying to take advantage of the administration technological know-how ends up in managerial choice making.

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Additional resources for Applied management science : modeling, spreadsheet analysis, and communication for decision making

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4 Furthermore, complex techniques are usually far more costly. Based on his vast experience as a management science consultant, Gene Woolsey has made three observations (which he calls Woolsey’s Laws) that have served as a useful guide to the selection of a solution technique: 1. Managers would rather live with a problem they can’t solve than use a technique they don’t trust. 2. Managers don’t want the best solution; they simply want a better one. 3. If the solution technique will cost you more than you will save, don’t use it.

Functional constraints are or “= ” restrictions that involve expressions with one or more variables. 5M < 2000 Variable constraints are constraints involving only one of the variables. Examples of variable constraints that will be discussed in this text include the following: V a r ia b le C o n s t r a i n t M a t h e m a t i c a l E x p r e s s io n Nonnegativity constraint Lower bound constraint Upper bound constraint Integer constraint Binary constraint X>0 X & L (a number other than 0) X< U X = integer X = 0 or 1 In the NewOffice example, no production can be negative; thus, we would require the nonnegativity constraints D 2 0, C ^ 0, and M S: 0.

4. Rewrite the constraint, if necessary, so that all terms involving the decision variables are on the left side o f the relationship, with only a constant value on the right side. C O N S T R U C T IN G M O D E L S H E LL In the formative stages of model building, generic symbols can be used for the pa­ rameters until the actual data are determined. In the NewOffice Furniture exam­ ple, the symbols Ab A2, and A3 might have been used to represent the amount of steel required to make one desk, one chair, and one pound of molded steel, respec­ tively, and the symbol B could have been used to represent the amount of steel available during the production run.

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Applied management science : modeling, spreadsheet analysis, and communication for decision making by John A. Lawrence, Barry A. Pasternack


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